Andrew Goodall

Department of Health pay deals reignites tax avoidance debate

Department of Health pay deals reignites tax avoidance debate

The government should stop pay arrangements that could allow senior officials to avoid thousands of pounds in tax, the head…
16 Feb 2012 

Other news:

Alternative Dispute Resolution trial extended

HMRC has extended the Alternative Dispute Resolution (ADR) trial for SMEs after a ‘successful launch’ last month in North Wales…
15 Feb 2012 

HMRC launches Electricians Tax Safe Plan

HMRC will begin writing to more than 50,000 electricians this month, warning them to pay any undisclosed taxes. A ‘special, time-limited tax…
15 Feb 2012 

EC says cooperation on FATCA advances promotion of automatic information exchange

Efforts to promote ‘global application’ of automatic exchange of information have been advanced by cooperation between governments on a new…
15 Feb 2012 

Public Accounts Committee reads HMRC provision as tax written off

MPs who claimed that HM Treasury had a ‘poor’ understanding of some aspects of the Whole of Government Accounts appear to…
14 Feb 2012 

Chargeable gains of companies: RPI for January 2012

The value of the retail prices index for January 2012 is 238.0, an increase of 3.9% on the January 2011…
14 Feb 2012 

People and firms: MHA MacIntyre Hudson and Tolley Exam Training

MHA MacIntyre Hudson announced the appointment of Alan Craddock as a Tax Partner in its London City office. He was…
13 Feb 2012 

HMRC rewrites guidance on disclosure of tax avoidance schemes

HMRC has rewritten its guidance to the disclosure of tax avoidance schemes (DOTAS) regime. The number of schemes reported has reduced…
13 Feb 2012 

Press watch: Bankers arrested in tax fraud investigation

‘Tax authorities have arrested a number of investment bankers at Royal Bank of Scotland and other banks in an inquiry…
13 Feb 2012

Tax adviser jailed for 18 months for attempted £70m fraud

Tax adviser jailed for 18 months for attempted £70m fraud

A tax adviser convicted last month of cheating the public revenue by dishonestly submitting and facilitating tax relief claims has…
10 Feb 2012 

Other news:

Redknapp trial costs: HMRC and prosecutors challenge ‘speculation’

The trial of Harry Redknapp and Milan Mandaric cost HMRC less than £300,000, a spokesperson told Tax Journal today. HMRC said…
10 Feb 2012 

HMRC extends ‘tax cheats’ campaign and plans more arrests

HMRC will invite people who have failed to complete tax returns and are liable to pay tax at the highest…
10 Feb 2012 

Talk to us, HMRC says but judgment is questioned after Redknapp’s acquittal

The judgment of HMRC officials and the City of London Police was questioned and Harry Redknapp’s barrister was reported to…
9 Feb 2012 

HMRC figures show that it has not gone soft on big business, says tax expert

The additional corporation tax raised by HMRC enquiries into large businesses hit a ‘record high’ last year, according to the…
8 Feb 2012

Student loans chief advised to account for tax under IR35

The Chief Executive Officer of the Student Loans Company at the centre of controversy over his tax arrangements was advised to account for tax and national insurance contributions under special rules introduced to counter tax avoidance via personal service companies.

It is not known whether Ed Lester did apply the “IR35” rules for 2010/11. Tax for that year would have been payable by 19 April 2011 and the tax return deadline passed earlier this month.

Ministers have come under fire since it emerged that Lester's pay arrangements were approved at ministerial level in December 2010 for a two-year contract that began in February 2011. He was initially engaged as interim CEO, from 28 May 2010. Payments were made gross to his personal services company, via a recruitment agency, until last month.

Read more and see Ministers under pressure over ‘corrosive’ tax deal.

Controlled foreign companies tax reform: What is the impact on developing countries?

Here are some of the news stories I’ve written for Tax Journal since I last posted here a few weeks ago: 

CFC reform: UK resists calls for assessment of impact on developing countries

The UK government has not estimated the potential impact on developing countries of imminent reforms to the controlled foreign companies…

3 Feb 2012 

Controlled foreign companies update: Treasury invites comments by 10 February

HM Treasury has published an update and more draft legislation dealing with reform of the controlled foreign companies (CFC) rules.…

3 Feb 2012 

Treasury minister unwinds student loans chief’s tax arrangements

An arrangement reported to allow the Student Loans Company's chief executive legally to avoid thousands of pounds in income tax…

2 Feb 2012 

General anti-avoidance rule may disappoint public opinion, says CIOT

The draft anti-avoidance rule being considered by the government does not allay concerns over uncertainty and may disappoint public opinion,…

1 Feb 2012 

UK tax code is shorter and probably simpler than it seems, says OTS

The UK’s tax legislation runs to fewer than 5,500 pages and almost half of it has been rewritten in a…

1 Feb 2012 

India’s top judges uphold ‘genuine strategic tax planning’

The decision of India’s Supreme Court in favour of Vodafone on 20 January is a ‘landmark decision’ for the foreign…

31 Jan 2012 

HMRC should invest in its own staff, says union as call centre workers strike

Up to 20,000 members of the Public and Commercial Services union working in HMRC will strike today in opposition to…

31 Jan 2012 

Press watch: Hartnett on the cash economy and alleged ‘sweetheart deals’

From the Daily Telegraph: ‘People who pay cash in hand to tradesmen are “diddling” the economy and diverting money from hospitals…

27 Jan 2012 

Minister urges caution as peers denounce ‘socially useless’ tax avoidance

The tax avoidance question is ‘critical’, particularly in the current economic situation, but the subject should be kept in perspective,…

27 Jan 2012 

HMRC defends ‘appropriate’ tax settlements with large companies

Dave Hartnett has declared that HMRC is up to the challenge of proving that it is an ‘efficient, even-handed and…

25 Jan 2012 

Vodafone decision is ‘good news’ for a host of other multinationals

Vodafone’s victory in the Indian Supreme Court last Friday came as a ‘huge relief’ to the group and to ‘a host…

25 Jan 2012 

Reduce tax breaks for the well-off, says OECD

Governments forced to re-think tax and benefit systems should take the opportunity to address inequality and growth issues simultaneously, the…

25 Jan 2012 

Misunderstanding can colour the ‘highly charged’ tax debate, says Shell CFO

Businesses and governments are in ‘a volatile era’ in which stable and predictable tax frameworks are ‘critical’ in maintaining the…

24 Jan 2012 

Knowing when to stop may be ‘the big question’ in transfer pricing, says OECD

Transfer pricing risks are among the largest tax risks that tax administrations face, but rates of tax recovery resulting from…

23 Jan 2012 

‘Innovative strategies’ needed for corporate tax dispute resolution

The seventh meeting of the OECD’s Forum on Tax Administration, held in Buenos Aires last week, brought together heads of…

23 Jan 2012 

Anti-abuse rule would make the tax code simpler, says Cameron

An anti-tax abuse rule would make the tax code simpler – not more complex – the Prime Minister said yesterday. In…

20 Jan 2012 

Further staff cuts could ‘severely damage’ HMRC, says CIOT President

HMRC is ‘turning the corner’, a spokesman told Tax Journal today after the President of the Chartered Institute of Taxation…

12 Jan 2012 

HMRC marks ‘significant progress’ in resolving transfer pricing issues

HMRC figures show that significant progress has been made in resolving transfer pricing issues with companies since a new approach…

11 Jan 2012

Alternative Dispute Resolution for SMEs ‘has to be good news’, says CIOT | Tax Journal

HMRC has launched an Alternative Dispute Resolution service for SMEs, in an effort to resolve disputes ‘much earlier’ than at present and reduce compliance costs.

via www.taxjournal.com

Potential impact of HMRC cuts on tax revenues is not fully understood, MPs warn | Tax Journal

HMRC needs to be clearer about how its cost-saving measures are likely to affect taxpayer compliance, a committee of MPs has warned.

via www.taxjournal.com

Large companies should pay 'a fair tax rate', says Cameron

Consultation on the introduction of a general anti-avoidance rule appears likely to feature in the Budget on 21 March, after David Cameron backed Nick Clegg’s call for tougher action to ensure that large companies pay their ‘fair share’ of tax.

Speaking to small business owners and entrepreneurs in Maidenhead yesterday, the Prime Minister said: ‘For the large companies that have the fancy corporate lawyers, I think we need a tougher approach. One of the things we’re going to be looking at this year is whether there should be a more general anti-avoidance power that HMRC can use, particularly on very wealthy individuals and on the bigger companies, to make sure they pay their fair share.’

The May 2010 coalition agreement committed the government to ‘make every effort to tackle tax avoidance, including detailed development of Liberal Democrat proposals’.

More

Tax disputes: MPs defend HMRC whistleblower

MPs have backed Osita Mba, the HMRC whistleblower who has contended that the Goldman Sachs settlement may have cost as much as £20m and argued that HMRC routinely issues press releases disclosing ‘sensitive personal details of individuals convicted of (and sometimes charged with) tax and benefit offences’.

A specific gateway was required to issue such releases lawfully, Mba said in evidence submitted to the Public Accounts Committee (PAC), and HMRC applied Commissioners for Revenue and Customs Act 2005 s 18(2)(a), which permits a disclosure made for the purpose of a function of HMRC so long as the disclosure does not contravene any restriction imposed by the Commissioners.

More ...

 

Tax disputes: NAO to scrutinise five settlements as HMRC faces legal challenge

Sir Andrew Park, a retired judge who has been involved in many leading tax cases – including Arctic Systems and several well-known corporation tax appeals – will provide tax expertise to assist the National Audit Office in a detailed review of five of HMRC’s largest tax settlements.

The Commons Public Accounts Committee (PAC) warned on 20 December that ‘systemic issues’ surrounding HMRC’s handling of tax disputes must be addressed with ‘the utmost urgency’. A proper separation between negotiation of tax settlements and their authorisation was needed, and HMRC ‘must address issues of accountability so that Parliament and the public can be satisfied that the best value is secured’, the committee said.

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HMRC accused of ‘double standards’ over business records checks pilot

HMRC has begun a detailed review of its business records checks programme, having recognised that the project would have benefited from more detailed consultation.

The Independent reported in a front-page article today that HMRC faced accusations of "double standards" over plans to target thousands of small businesses with spot checks, despite "letting big companies such as Goldman Sachs off millions of pounds in tax".

More ...

 

Tax Journal news: December 2011

Playing catch up ... these are the news stories that I posted on the Tax Journal website between 1 and 15 December 2011, latest first:

Press watch: City firms ‘face tax investigation’

‘Up to ten companies are facing a judge-led investigation into their tax settlements amid growing concern over the way Revenue…
15 Dec 2011 

Autumn statement is ‘good for SMEs’ | Tax Journal

Tax professionals welcomed new measures announced in this week’s autumn statement to encourage investment in smaller businesses but pointed out that the government has chosen not to reverse a planned reduction in capital allowances. One expert said the decision to freeze the capital gains tax annual exemption set a worrying precedent.

via www.taxjournal.com

Pensions tax relief measure to take effect from 29 November | Tax Journal

The government will deliver permanent reductions in spending, using the savings to fund infrastructure investment and support social mobility, HM Treasury announced in today’s autumn statement.

via www.taxjournal.com

Brussels is ‘threatening to sue’ over UK-Swiss tax deal | Tax Journal

European Commission lawyers have concluded that the UK’s controversial tax agreement with Switzerland is in breach of EU law, the Financial Times has reported, and Brussels is ‘threatening to sue’ the UK unless the deal is significantly altered.

via www.taxjournal.com

Eurodad steps up campaign for country-by-country reporting | Tax Journal

Multinational ‘tax dodges’ are estimated to account for over half of all illicit capital flight from developing countries, the European Network on Debt and Development (Eurodad), a network of NGOs from 19 European countries, has claimed.

via www.taxjournal.com