SME Tax News

Trustees should be aware that the deadline for registering trusts with a UK tax liability for the first time in 2017/18 is 5 October 2018.

In Mr Darius Soleimani-Mafi v HMRC [2018] TC06629 the First Tier Tribunal (FTT) upheld capital gains tax discovery assessments for the disposal of a property on entering into a declaration of trust; no oral trust agreement already existed, there was a disposal on the date of the declaration and the taxpayer deliberately failed to declare the gain.

In Professional Game Match Officials Limited v HMRC [2018] TC06698, the First Tier Tribunal (FTT) found that football referees were self-employed. There was insufficient mutuality of obligation and control to amount to employment, even though the level of integration, hours worked and the absence of being business on their own account suggested an employment relationship.

In Ardeshir Naghshineh v HMRC [2018] TC06631 the First Tier Tribunal (FTT) allowed sideways loss relief claims for a farming business where losses were made for 17 years; at the start of the loss-making period the reasonable expectation was that the farm would not become profitable until after the period for which relief was being claimed.

In Excel Computer Systems PLC v HMRC [2018] TC06561 the First Tier tribunal upheld NIC decisions for class 1A  despite employees making good the private fuel provided; payment was not made within the tax year and no concession applied as the company’s fuel card policy did not meet the necessary conditions.

HMRC have opened a new consultation “Discussion Document on HMRC’s anti-money laundering supervision fees".

In SSE Generation Ltd v HMRC [2018] TC06618 the First Tier tribunal (FTT) held that some of the expenditure on constructing a hydroelectric power scheme was eligible for capital allowances as plant; the rest was specifically excluded by CAA 2001.