AN ESTIMATED £75m of ‘gifts’ could be presented to the nation under a new tax relief scheme.
The ‘gift of pre-eminent objects’ tax scheme will be introduced from the April 2012 tax year, providing relief for giving valuable gifts over to the UK.
The scheme will run in parallel with the current ‘acceptance in lieu’ scheme in which an estate can offer objects against inheritance tax liabilities. The new scheme is applicable across income tax, corporation tax and CGT.
Current projections show a £15m cost to the Treasury from 2012/2013 through to 2016/2017, equating to £15m a year spent on these objects.
The acceptance in lieu scheme also costs around £15m a year.
Research also finds that 84% of businesses believe that the government has not provided enough information about digital tax plans
A total of £16bn was lost through tax fraud last year, according to estimates released by Pinsent Masons
Rosamond McDowell looks at key changes to inheritance tax policy, which apply from April this year
Additional tax a result of compliance investigations by HMRC, but overall revenue falls