HMRC is continuing its RTI penalty concession. Employers have an extra three days to report their payrolls online...until 2017.
SME Tax News
The Office of Tax Simplification (OTS) has released details of its current projects, including further work on the alignment of income tax and NICs and a review of the corporation tax computation.
HMRC has announced that a planned series of consultations on Making Tax Digital will not now begin until after the European Union referendum on 23 June. The first consultation was originally expected to be released in early April.
In Kevin Mulloy v HMRC [2016] TC05019 a sole trader tried and failed to obtain CGT relief on costs previously claimed as deductions in his trading accounts together with the cost of loss of his personal investment in the business and a payment to his ex-wife.
Following criticism from professional bodies and a number of unsuccessful visits to the First Tier Tribunal (FTT) HMRC has issued a revised version of VAT notice 733 Flat Rate Scheme to update their guidance in accordance with the FTT decisions.
In John Lewis v HMRC [2016] TC05029 share loss relief was allowed when an undocumented loan was converted to shares and the company ceased to trade shortly after.
In Colin Bielckus, Mark Arnell and Kevin Taylor v HMRC [2016] TC05044 the addition of voting rights attaching to shares were not enough to make them ordinary shares for the purposes of share loss relief.
In M & E McQuillan v HMRC [2016] TC05074 redeemable non-voting shares carrying no right to a dividend were not counted as ordinary shares for CGT relief on the basis that no right to a dividend amounted to a fixed rate dividend of 0%. This finding is contrary to HMRC's manuals.
In Bernard Bediako v HMRC [2015] TC05054 an accountant's misunderstanding of self assessment and the appeals procedure resulted in a tax penalty for the taxpayer.
In G4S Cash Solutions (UK) Ltd v HMRC [2016] TC05015 the First Tier Tribunal confirmed that parking fines incurred by the company could not be deductible for tax purposes.