Profession attacks couples tax
Paymaster general Dawn Primarolo is under pressure to relax a tax assault on family-run businesses following last week's meeting between the Inland Revenue and the professional bodies.
Paymaster general Dawn Primarolo is under pressure to relax a tax assault on family-run businesses following last week's meeting between the Inland Revenue and the professional bodies.
Link: ‘Husband and wife tax’ under discussion
Seven organisations joined forces in an unprecedented display of unity to influence the Revenue’s controversial interpretation of the so-called ‘husband and wife’ tax, Section 660.
More than 200,000 family-run businesses could be caught by S660, should the Revenue pursue the legislation vigorously.
‘I think there is scope for movement,’ said John Whiting, former president of the Chartered Institute of Taxation. ‘We should get a definition of who is really caught, and get that number down to about 1,000.’
Mark Lee, chairman of the ICAEW tax faculty, said: ‘The Revenue reluctantly accepted that some of their examples describe very innocuous situations as if they were objectionable. We hope the strength of feeling is such that they will issue clarifying guidance.’
But the situation is likely to step up a gear next year if, as expected, one company takes its fight to the courts. Anne Redston, tax partner at Ernst & Young, said the case is ‘likely’ to be heard within six months.
In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...
View resourceIn recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...
View resourceIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceThe first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...
View resourceHMRC sees the profit or loss made on buying and selling of exchange tokens as within the charge to Capital Gains Tax (CGT). Read More...
View articleThe recent IR35 case involving former Liverpool footballer and Sky Sports presenter, Phil Thompson, has drawn attention to the complexities and implic...
View articleFrom January 1, 2024, HMRC will implement new tax rules affecting individuals who sell items on platforms like Etsy, Depop, and Vinted. The new regula...
View articleHMRC reveal a small majority of people are soldiering a significant proportion of income and capital gains tax, following FOI request. Data has reigni...
View articleSteven Pinhey, technical officer at the Association of Taxation Technicians (ATT), considers how the rules on deductible expenses work in a social med...
View articleATT technical officer, David Wright, considers the implications of HMRC’s decision to remove employees with income between £100,000 and £150,000 from ...
View articleThis was the fourth largest borrowing year since records began in 1993 Read More...
View articleATT technical officer, David Wright, provides an overview of the welcome relaxation to CGT provisions for separating couples looking to transfer asset...
View article