A number of changes to working tax credits and child tax credits were announced in the Summer Budget and we have summarised these for you.
SME Tax News
In Ernest O Bustard v HMRC [2015] UKFTT TC04703 a take-away owner successfully appealed the results of a mark-up exercise by HMRC: its assessments were not made in best judgement and were excessive.
In William P Harrison v HMRC [2015] TC04693 the taxpayer made multiple invalid CGT main residence elections: none of the elected properties was ever occupied as a "residence".
In Sonny Joseph McEwen v HMRC [2015] TC04677 the first tier tribunal (FTT) found that payments to a subcontractor had been paid gross: there was no evidence of any tax deduction.
Proposals to align pension input periods (PIPs) with the tax year from 6 April 2016 were announced in the 2015 Summer Budget. The transitional rules which affect the 2015/16 tax year open up the possibility of doubling the available allowance for the year to £80,000.
The House of Commons' Public Accounts Committee (the PAC) has again been highly critical of HMRC's performance levels in delivering customer service, tackling avoidance and improving reporting.
Hello
Good news at last for HMRC, in a week that was otherwise looking rather bad. The Scottish Court of Session have found that loans made to executives of the Murray Group and former Rangers FC players were not really loans at all but employment income.
In Peter Silvester v HMRC [2015] TC04682 a farmer was denied sideways loss relief, despite changing his business model. HMRC was entitled to make a discovery assessment on losses, even though losses were reported every year.