Navigating the Evolving Landscape of R&D Tax Relief: HMRC’s Stricter Approach and the Use of FA 1998, Sch 18 Para 16 Powers

Tax authorities have taken a strong interest in R&D relief, addressing concerns about dubious claims. Recent measures aimed at curbing abuse have also affected legitimate claims, leading to criticism of HMRC’s approach. A new development involves the use of FA 1998, Sch 18 para 16 powers to remove claims from returns. This power is typically […]

HMRC Tax Simplification

In a collective letter addressed to the Financial Secretary, Victoria Atkins, the CIOT, ATT, LITRG, ICAS, and ICAEW have expressed their concerns about the government’s ability to achieve a meaningful simplification of the tax system. They emphasize that such an endeavor necessitates a well-defined plan, dedicated resources, clear accountability, and substantial investment. These organizations are […]

Streamlining Salary Reporting: Examining HMRC’s Proposed Amendment Regulations for Employer Advances

HMRC is consulting on proposed amendment regulations, which allow employers to delay reporting an advance payment of salary made to an employee until payment of the remainder of that salary instalment, where certain conditions are met. Employers would otherwise have to report the advance and regular payment of salary to HMRC separately.

Another bumper tax take in July for HMRC

In July 2023, UK tax receipts hit a record high of £80.7 billion, largely driven by income tax, which rose by 19% compared to July 2022. This increase suggests more people are moving into higher tax brackets. However, stamp duty land tax revenue decreased due to rising mortgage rates and fewer property transactions.

HMRC Opens Consultation on Draft Tax Regulations for Insurance Companies’ Structural Assets in Long-Term Business

HMRC has published a consultation on the draft tax regulations which specify which assets are to be treated as structural assets of an insurance company’s long-term business. The regulations are expected to be made during autumn 2023 and will apply to accounting periods beginning on or after 1 January 2024. The consultation closes on 26 […]