When complex arrangements are really just good-old employment income in disguise May 19, 2022 | City Talk Justine Riccomini explains why it is important for employment tax practitioners to “look through” what appears to be a complex arrangement and see it for what it really is – in this case, a way of paying cash bonuses to employees. Background In Jones Bros Ruthin (Civil Engineering) Co Ltd and Britannia Hotels Ltd v [...]
Marks & Spencer’s CFO urges Chancellor Rishi Sunak to firmly reject online sales tax May 19, 2022 Marks and Spencer has reportedly warned the Government that an online sales tax would do more harm than good for the high street. In February, the Government launched a consultation into possibilities for an online sales tax to ease the business rates burden on high street stores. In a letter to Chancellor Rishi Sunak, reportedly [...]
Brexit red tape onslaught deepens as UK economy loses £47bn because businesses drown in cross-border tax complexities May 18, 2022 Cross-border tax complexities cost the UK economy £47.6bn in lost revenue last year, an average revenue loss of 16 per cent on total EU exports, according to fresh industry data shared with City A.M. this morning. The stresses of navigating complex regulations post-Brexit continues to hold back growth for UK exporters, and is causing significant [...]
Labour calls for all MPs to vote on one-off windfall tax May 16, 2022 The Labour Party is calling on all MPs to vote in favour of a one-off windfall tax on oil and gas producers as the cost of living crisis continues to bite into Brits’ pockets. The amendment will be proposed tomorrow morning during the Queen’s Speech debate and it follows an analysis published yesterday by the [...]
Capital gains tax receipts increase £5bn in two years: Is its future aligned with income tax? May 15, 2022 The amount of Capital Gains Tax collected by the government has shot up by more than £5bn in the past two years, according to official figures from HMRC. Rising from £9.8bn in 2019/20 to £14.9bn in 2021/22, the huge increase comes after changes to the tax and rising house prices. The increase in Capital Gains [...]
Rishi Sunak is ‘pragmatic’ about imposing windfall tax on soaring energy profits as Brits’ bills skyrocket May 13, 2022 Chancellor Rishi Sunak said he was “pragmatic” about possibly imposing a windfall tax on the soaring profits of oil and gas giants as customers’ bills rise. Prime Minister Boris Johnson has shown firm opposition to the raid but has conceded “we’ll have to look at it” after BP chief executive Bernard Looney said his investment [...]
VAT revenues rise to highest amount ever as HMRC pockets £157bn in just one year May 13, 2022 HMRC collected a record £157.2bn from VAT bills in in the last tax year, a 55 per cent jump on the £101bn collected in 2020/21, after businesses were forced to make up for VAT payments they deferred during the pandemic. Accountants have told City A.M. that HMRC’s VAT income has risen sharply after the rate [...]
UK pension holders in for a shock as thousands face unexpected tax charges due to exceeding lifetime allowance May 12, 2022 Thousands of pension savers potentially face tax charges as they have more than the lifetime allowance sitting in their personal pensions, figures indicate. Around 2,300 people have been paying into personal pension schemes exceeding the lifetime allowance of £1,073,100, according to HM Revenue and Customs (HMRC) data. InvestingReviews.co.uk obtained the figures from HMRC following a [...]
Energy giants hold their breath as Boris Johnson refuses to rule out windfall tax and Rishi Sunak starts examining profit levy May 12, 2022 Prime Minister Boris Johnson has refused to rule out a windfall tax on the profits of the energy companies to help relieve the pressure of the cost-of-living squeeze. Chancellor Rishi Sunak has reportedly told Treasury officials to examine plans for a levy on the soaring profits of the oil and gas giants. It follows an [...]
Cabinet not united: Minister Kit Malthouse breaks ranks and calls on Chancellor Rishi Sunak to cut taxes May 9, 2022 The government’s Minister of State for Crime and Policing Kit Malthouse has called on the chancellor, Rishi Sunak, to cut taxes as soon as possible. The Chancellor should roll out plans to reduce taxes to tackle the cost of living crisis, Malthouse said during an interview on TalkTV. “The Chancellor has already signalled his desire [...]