The original proposals calls for managers to be prevented from reclaiming VAT on such things as rent and Reuters’ screens, something they are currently able to do.
But complaints from the industry and fears that the £50bn market based in London could be forced to relocate has led Customs to resume discussions with the industry to ‘listen to its concerns’ the FT reported.
No decision has yet been taken, but an announcement will be made shortly, Customs said.
HMRC compliance crackdown targets SMEs, resulting in £468m for year ending 31 March 2016
Report argues that the government must change the way it makes tax and budget decisions
Committee expresses concern about costs to businesses and April 2018 implementation date
Andrew Tyrie airs views on the Finance Bill, 'Making Tax Policy Better' report, and Brexit