The House of Lords inquiry into HMRC’s progress in implementing Sir Amyas Morse’s loan charge review concluded that, 12 months on, HMRC has come up short in a number of areas.
In recent months HMRC has issued sporadic letters to taxpayers who have participated in tax avoidance arrangements, inviting them to come forward and settle their affairs. But is there a real incentive?
Some NHS workers may be taking home less than 30p in the £1 for overtime worked, and others may inadvertently fall into a pensions tax trap where marginal tax rates are over 100 per cent, effectively paying to work.
Stamp duty was introduced as a four-year temporary tax in 1694 to pay for the war against France. Over three centuries later, we’re seemingly still footing the bill as successive governments favour the easy tax revenues it generates. As the Chancellor comes under pressure to extend the Stamp Duty Land Tax (‘SDLT’) holiday, we ask the question: should we just scrap SDLT?
HMRC confirmed on 25 January 2021 that it would waive the late filing penalty of £100 for self-assessment tax returns which are submitted following the 31 January deadline, so long as they are no more than one month late.
A wealth tax has not been seriously considered in the UK for 50 years, but with the need to raise additional revenue as a result of COVID-19 the option has been garnering increased interest. The question is not a straightforward one - the options are various, including whether it should be a one-off or annual charge, UK or world-wide, all assets or only specific ones?
The Coronavirus Job Retention Scheme (CJRS) is due to conclude at the end of April 2021. As the pandemic continues, cases increase and the vaccine is rolled out, there is much speculation around when lockdown will be eased. Will it be March or later, a phased approach or back to tiers?
HMRC ramped up its enquiry activity to capitalise on the last chance to open enquiries into these tax returns before 31 January 2021. HMRC is paying attention to taxpayers who have failed to report the loan charge. These individuals may be the hardest hit, and some may not even be aware they are caught.
With the rise in the value of Bitcoin, investors may have decided to cash out and protect their gains – which will have tax consequences.
Prime Minister Boris Johnson is keen that the UK should become the ‘Singapore of Europe’ with light-touch regulation and low taxes. We’ve been looking at what that might mean for the UK tax system. Companies would see little difference, but high-earning individuals might have their taxes halved. Can the UK afford that? We think not.