Tax voice - June 2019

Welcome to June's edition of tax voice, a monthly round-up of the most important tax news.

Creative sector tax breaks – important update

14 June 2019

Creative sector tax incentives have been available for some time now, however, many potential claims have not been made. We also understand that a number of claims have been made incorrectly or without sufficient supporting information, meaning companies and charities have these claims challenged. Care must be taken to ensure relief is maximised but also that claims are made correctly.

Making tax digital - HMRC’s guidance updated

14 June 2019

Over a month after some organisations began their first making tax digital (MTD) compliant VAT return period, HMRC made a series of changes to its guidance on this reform. While there are a number of welcome changes, affected organisations should take note to ensure that their implementation takes account of them.

Corporate tax instalment payments changes

14 June 2019

The Government has introduced an accelerated quarterly instalment payment regime, for accounting periods commencing on or after 1 April 2019, for ‘very large companies’. The new regime requires very large companies (companies with taxable profits exceeding £20m) to pay their corporation tax instalments earlier, with the first payment typically due two and a half months after the start of the accounting period and the final payment due in the final month of the period.

Don’t get wound up

14 June 2019

With effect from 6 April 2016, ‘phoenixism’, which involves a similar business being carried on within two years of the cessation of the previous business, has been open to challenge by HMRC and the liquidation proceeds are liable to income tax rather than capital gains tax.