Capital Gains Tax and Investment Income

 


HM Treasury has published a response to the consultation last year on introducing an SDLT surcharge for non-UK resident purchasers of residential property

A live blog of the fourth public bill committee sitting of Finance Bill 2020 (also known as Finance Bill 2019-21), which took place on Tuesday 9 June 2020 from 2pm. Clauses passed covered increases in the rate of the Research and Development Expenditure Credit (RDEC), and of Structures and Buildings Allowances; changes to the tax treatment of some intangible fixed assets; the Enterprise Investment Scheme (EIS) and 'top slicing relief'.

A live blog of the third public bill committee sitting of Finance Bill 2020 (also known as Finance Bill 2019-21), which took place on Tuesday 9 June 2020 from 9.25am. Topics covered included the annual allowance for tax relief on pension contributions, changes to entrepreneurs' relief, private residence relief and corporate capital losses.

Update : Action group of affected taxpayers

The CIOT understands that a group of affected taxpayers and their advisers are forming an action group with a view to taking a test case on this issue to the First-tier Tribunal. Advisers with clients affected who are interested in joining the group should contact Jennifer.Smithson [at] Macfarlanes.com

A concerned CIOT is calling for greater scrutiny and debate about the Government’s plans to curb Entrepreneurs’ Relief (to be re-badged ‘business asset disposal relief’), ahead of the committee stage of the Finance Bill on Thursday (June 4). The media was full of comments from friends and enemies of Entrepreneurs’ Relief in the weeks leading to March’s Budget but there was no formal public consultation, to the disappointment of the CIOT.

From 6 April 2020 non-residents who are required to report direct disposals of residential and non-residential UK property or land need to create a Capital Gains Tax (CGT) on UK property account to report and pay the tax within 30 days of completion of the transaction.

The Chartered Institute of Taxation (CIOT) respond to the Treasury Committee inquiry in to the Spring Budget 2020

The Finance Bill had its second reading in the House of Commons on Monday 27 April.  The Bill includes measures such as a Digital Services Tax, changes to the controversial Loan Charge and retaining corporation tax at 19 per cent (rather than implementing a previously legislated cut to 17 per cent). It makes some business reliefs more generous to encourage investment but introduces restrictions on the availability of two capital gains tax reliefs - entrepreneurs’ relief and private residence relief.

Further directions issued today by the President of the First-tier tax tribunal, Judge Sinfield, to the Tax Chamber and Tribunal users extending, in relation to certain proceedings, the general stay of all proceedings released on 24 March (as amended and released on 26 March).

This update provides some background to and information about HMRC’s letters and some guidance to help members decide the most appropriate way to respond if a client receives one of the letters.