RPC Tax Take
For tax professionals on the move
Tax avoidance scheme succeeds before the Upper Tribunal
In Tower Radio Limited and another v HMRC, the taxpayers successfully utilised a scheme which was designed to take advantage of Part 7 of the Income Tax (Earnings and Pensions) Act 2003 (ITEPA).
During the periods relevant to this case, no liability to income tax arose under Chapter...
Taxpayer successfully relies on human rights argument to defeat HMRC following the taxation of the same profits twice
The appellant, in Ignatius v HMRC, has successfully fought off an attempt by HMRC to strike out his appeal, by relying on the European Convention on Human Rights ("ECHR").
The appellant, a barrister, was in the "transitional regime" applicable to barristers moving from the "cash" ...
High Court criticises HMRC's conduct and compels it to honour its undertakings
The published judgment in Abbey Forwarding will not make for comfortable reading for HMRC. Having instigated the winding up of a profitable business, which led to the dismissal of 23 employees, and accused innocent directors of fraud, HMRC then withdrew all assessments made against the company a...
"Horse play" – Tribunal concludes that racehorse ownership was a gamble and not a trade and rejects the taxpayer's loss relief claim
In recent years, there has been a seemingly unending string of cases relating to whether certain activities constitute trading. Ewan Leslie James McMorris v HMRCis the latest case to consider the circumstances in which a taxpayer may deduct losses incurred from his other income under section 64, ...
Out of court settlement may lead to adjustment in CGT liability
The Court of Session has found in favour of the taxpayer in Sir Fraser Morrison v HMRC, and confirmed that a payment of £12m, made by the taxpayer in an out of court settlement, following a claim for damages for misrepresentation, may be deducted under section 49, Taxation of Chargeable Gains Act...
FTT decision pays dividends for Mr and Mrs Jones
In Richard Jones, Julie Jones v HMRC, the First-tier Tribunal (Tax Chamber) (FTT) has decided that the owners of an insolvent recruitment consultancy do not have to pay employment taxes in respect of dividends paid to them which they subsequently reclassified as salary.
Mr and Mrs...
About this blog
Albert Einstein once remarked, on trying to complete his tax return: "This is too difficult for a mathematician. It takes a philosopher!". As tax practitioners are only too well aware, tax legislation continues to increase in length and complexity with the passing of each Finance Act. There is also a steady stream of new case law. Our hope is that, against this background, RPC Tax Take will be a useful source of current information and comment to busy practitioners. It features regular postings on the latest news and developments in UK tax law, together with a number of practical Practice Notes written by specialist lawyers at RPC.
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