In L-L-O Contracting Ltd & Ors v HMRC [2025] UKUTT 00127, the Upper Tribunal (UT) agreed with a previous ruling that the failure to claim Multiple Dwellings Relief (MDR) by the statutory deadline was a 'mistake'.
SME Tax News
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As is well known, Making Tax Digital (MTD) for Income Tax (IT) becomes mandatory from 6 April 2026 for those with a combined annual gross income from self-employment and property letting that exceeds £50,000.
In Tamzin Eyre & Ors v HMRC [2025] TC09530, the First Tier Tribunal (FTT) found that a company intending to develop a property was not a ‘trading company’ for Entrepreneurs’ Relief (now Business Asset Disposal Relief) purposes. Its activities included, to a substantial extent, activities other than trading activities.
In Paul Hunt & Ors v HMRC [2025] TC09519, the First Tier Tribunal (FTT) disagreed with the taxpayers’ interpretation that £10 million received from cancelled shares in April 2015 was exempted from the Transactions in Securities (TiS) legislation.
HMRC report that their security systems have detected unauthorised access to some taxpayers’ online accounts, in an attempt to obtain money from HMRC. Around 100,000 individuals are affected, with £47m having been lost by HMRC. Guidance has been published for those impacted.
The main professional bodies have published ‘Topical guidance covering the application of professional standards to the provision of MTD for Income Tax services’. This aims to provide clarity on how Professional Conduct in Relation to Taxation (PCRT) will apply to Making Tax Digital for Income Tax.
Missed our SME Tax Updates in May? Here is a summary of the month.
Hello,
This week, we have news of incorrect SA302 tax calculations. We also take a look at a recent First Tier Tribunal (FTT) tax hearing, in which Artificial Intelligence (AI) played a part, but did not help the taxpayer’s appeal.
HMRC have published new advisory fuel rates for company car drivers that apply from 1 June 2025.
HMRC have released statistics showing an increase in the number and amount of investments made under the Seed Enterprise Investment Scheme (SEIS). The statistics also show decreases in Enterprise Investment Scheme (EIS) and Venture Capital Trust (VCT) scheme investments.
