Weekly tax brief | 14 March 2023

Will those who retired early return to the workforce to benefit from tax breaks? Perhaps the government should look elsewhere
Sarah Saunders
The budget may contain changes to the pension system to try to encourage early retirees to return to the workforce. The Joseph Rowntree Foundation has published data showing this is unlikely to succeed and instead the long-term sick and disabled should be helped. Could this be a problem that does not require increased tax complexity to solve it?

Enterprise investment scheme relief – no certificate, no relief
Eugenia Campbell
 As we approach the 2022/23 tax year end, taxpayers will be considering what actions they can take to mitigate their tax exposure. Investing in enterprise investment scheme (EIS) shares remains a popular option for those looking to make investments that offer income tax relief, with around £1.7 billion of investment raised in 2020/21 from EIS investors. However, claiming the relief without an EIS3 certificate can be costly as demonstrated in the first-tier tribunal case of HMRC vs Dr Rizvi.

Proof of postage important for taxpayers to avoid an unappealing outcome
Sian Marsden
When HMRC issues an assessment which is disputed, there is a 30-day window to submit an appeal. It is important however, that contemporaneous evidence like proof of postage is retained to support this action or it could be all be for nothing, as in the case of Cenkci vs HMRC.

A favourable national insurance position for landlords?
Adam Jefferies
After a decade of additional tax and filing requirements for many landlords, such as annual tax on enveloped dwellings and non-resident capital gains tax, some might say they are due a bit of good news. Whilst national insurance contributions may not reduce their tax or compliance burden, could they provide a simple way for landlords to ensure retirement benefits in the future?

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