TaxAdministrationComplex charity avoidance scheme unmasked

Complex charity avoidance scheme unmasked

Economic secretary John Healey says the Revenue has uncovered a series of complex avoidance schemes using securities owned by charities.

Link: Draft tax avoidance rules disappoint

The scheme reduced the value of securities in the hands of charities by imposing obligations on the charity concerned exploiting gift tax concessions.

He said the sums attainable under schemes only recently uncovered were ‘virtually limitless’.

Healey exonerated the charities and promised the aim to encourage philanthropy remained. He said guidance would make it clear to charities where they stood.

Shadow Tory chief secretary Howard Flight described two of the crackdowns as ‘a fair cop’ but complained at the lack of time for professionals to study what was being done to ensure there were no unintended side effects.

He said some of the avoidance was in reaction to perceived retrospective changes in the tax position on sales and leasebacks.

Lib Dem shadow chief secretary David Laws backed the crackdowns.

Related Articles

LITRG urges government to consider tax changes in disability work plan

Administration LITRG urges government to consider tax changes in disability work plan

5d Lucy Skoulding, Reporter
HMRC appeal rejected in Tottenham Hotspur case

Administration HMRC appeal rejected in Tottenham Hotspur case

3w Emma Smith, Managing Editor
HMRC issues updated Trusts Registration Service guidance

Administration HMRC issues updated Trusts Registration Service guidance

3w Emma Smith, Managing Editor
New trading allowance: simplicity, but not as we know it

Administration New trading allowance: simplicity, but not as we know it

2m Emma Rawson, ATT Technical Officer
‘Improve rather than lose’ disincorporation relief, tax body urges

Administration ‘Improve rather than lose’ disincorporation relief, tax body urges

3m Austin Clark, Reporter
Are you ready for the Trusts Registration Service?

Administration Are you ready for the Trusts Registration Service?

3m Helen Thornley, ATT Technical Officer
Advisers bullish despite Brexit concerns

Accounting Standards Advisers bullish despite Brexit concerns

1y Fraser Simpson, Reporter
Brexit: Five questions accountants should be asking

Accounting Firms Brexit: Five questions accountants should be asking

1y Fraser Simpson, Reporter