Tax Aware

IR35 for the private sector: Where are we now?

The IR35 rules as now applied to private sector businesses came into force on 6 April 2021. Now two months in, our experience has been that many consultants that are deemed to be subject to IR35 have been required to operate through umbrella companies, with others being brought into their clients' payroll.

SSE: Hiving down before a sale deemed ineffective

Simplicity is good but sometimes it comes at a cost, as a taxpayer recently found out in the case of M Group Holdings Limited v HMRC (TC/2019/04839) when losing their claim for tax relief under the substantial shareholding exemption (SSE).

Personal tax: The Big Freeze

The Finance Bill 2021 is expected to receive Royal Assent before the parliamentary summer recess in July. Rather than raise taxes, the Government has chosen the less politically controversial route of taxing by stealth by freezing the amount that people can earn tax-free.

HMRC targets employers in furlough fraud crackdown

Although almost a year has passed since the implementation of the furlough scheme, HMRC is cracking down on fraudulent use of the Scheme during the COVID-19 pandemic.

VAT: The end of duty-free shopping in the UK

The VAT Retail Export Scheme used to allow overseas visitors buying certain goods in person in the UK to receive a refund of any VAT paid on those goods. The Scheme was abolished on 1 January 2021.

PAYE and Corporate Tax Residence: Issues to consider when international workers work from home in the UK

If an employee of an overseas employer is working in the UK, this can give rise to altered PAYE obligations for the employer and employee, and in certain cases could make the employer's profits taxable in the UK.