Technical News

 


Over the last two years, the CIOT (with input from the ICAEW, the Stamp Taxes Practitioners’ Group and the RICS) has been discussing the tax and valuation issues surrounding the treatment of goodwill in trade related properties (pubs, restaurants, hotels, care homes being common examples) through meetings and correspondence. 

Please find below in PDF format, correspondence with HMRC on Availability of IHT business property relief for group structures.

Technical Team

Please find attached various useful documents related to filing in iXBRL, including guidance from HMRC.

Query raised with HMRC - whether the 12 month ownership requirement for Entrepreneurs’ Relief includes the holding period of the original shares where there has been a share for share exchange.

All references are to TCGA 1992.

Facts are: Shareholder (S) owned >5% (OSC and votes) of a company (OldCo). A new holding company (NewCo) was put on the top in July 2009 via a s135 share-for-share exchange (with HMRC clearance). S owns >5% of the OSC and votes in NewCo. All other requirements such as being a director or employee, trading company etc are satisfied.

Subsequent to the publication of Revenue & Customs Brief 30/09 (RCB 30/09): Shares acquired before 10 April 2003 by exercising employee share options – allowable deductions (see link below) on 12 May 2009, the CIOT wrote to HMRC asking for clarification of a number of issues. 

HM Customs and Excise have authorised us to publicise the information below. How to Access the On-line VAT Registration Service

The Inland Revenue have authorised us to publicise their guidance on discovery following the Veltema judgment. The guidance appears below. A summary note on completing self assessment returns and some background notes can be downloaded as Word documents by clicking the links at the foot of the article. Self Assessment tax returns are usually issued to taxpayers in April, shortly after the end of the tax year. The Return has to be completed and sent in by the following 31 January.