Technical News


May 2003 update on the work of the Technical Committee. GENERAL

Money laundering
Representatives of the Standards Committee working party on money laundering and representatives from the ICAEW attended a meeting with the Inland Revenue on 22 April 2003 to discuss the impact of the draft money laundering regulations. Charles Barcroft attended as an observer – something of a dry run for future discussions with Customs and Excise.

Annotated extract from Inland Revenue company taxation manual by John Cullinane and John Lindsay of the CIOT Corporate Tax Sub-Committee The Chartered Institute of Taxation (CIOT) has recently had discussions with the Inland Revenue regarding the guidance issued by the Inland Revenue on 24 April 2002 on the possible application of paragraph 13 of Schedule 9 to the Finance Act 1996 (FA 1996)(Loan relationships for unallowable purposes). In the light of these discussions the CIOT has issued a guidance note for its members.

The CIOT's representations on the Finance Bill published on 16 April 2003 were submitted today to the revenue departments, Ministers and MPs on the Standing Committee on the Finance Bill. EXECUTIVE SUMMARY

Re foreign income, IR35, termination payments, strikers, mileage allowances: the Chartered Institute of Taxation (CIOT) has been in correspondence with the Inland Revenue (IR) following the amendments to the Regulations for new tax credits - as published on the Revenue website on 17 March 2003. We sought clarification in five areas:

Supplement to previous guidance issued on 17 March 2003 Further to our website, and April 2003 Tax Adviser, article on protective claims we have now received written confirmation from the Inland Revenue that they will not seek penalties from a taxpayer who makes a claim resulting in a nil award and then:

The Inland Revenue have asked the CIOT to publicise the following two points:

Tax advisers may want to let clients know that for those having difficulty getting through to the Tax Credits Helpline, it is open every day from 8am to 8pm and it tends to be quieter in the early afternoons on weekdays and Saturdays, and all day on Sundays.

Presented to Branches Forum February 2003. COUNCIL AND BRANCHES FORUM REPORT February 2003