Employment taxes

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What is an intangible fixed asset?

Part 8 of the Corporation Tax Act 2009 (CTA 2009) is a specific corporation tax regime that applies exclusively to the gains and losses of intangible...

SDLT—deeds of rectification

Stamp duty land tax (SDLT) ceased to apply to any land transaction involving any interests in or over land in Scotland from 1 April 2015. From that...

VAT—triangulation

Brexit: This Practice Note contains information on subjects impacted by the UK’s withdrawal from the EU. The Taxation (Cross-border Trade) Act 2018,...

Bank levy

FORTHCOMING CHANGE: HMRC is consulting (13 July to 10 August 2020) on draft regulations to provide a deduction from a UK entity’s equity and...

Practice notes

VAT on composite supplies

Brexit: As of exit day (31 January 2020) the UK is no longer an EU Member State. However, in accordance with the Withdrawal Agreement, the UK has...

Produced in partnership with Gary Barnett, Martin Shah and Simmons & Simmons 9th Nov

Practice notes

Why have a tax covenant?

It is market practice for a tax covenant, also known as a tax deed, to form part of the transaction documents in respect of a sale of all the shares...

9th Nov

Practice notes

Capital reduction demergers

The reasons why a company might carry out a demerger, and the different ways in which a demerger may be structured, are described in Practice Notes:...

Produced in partnership with Zoe Feller of Bird & Bird 9th Nov

Practice notes

Section 198 and 199 elections on transactions involving real estate

This Practice Note describes the law and practice relating to elections under section 198 or 199 of the Capital Allowances Act 2001 (CAA 2001), which...

Produced in partnership with Martin Wilson 9th Nov

Practice notes

Schemes of reconstruction defined

This Practice Note is about the meaning of a scheme of reconstruction for tax purposes.Tax neutrality is maintained where a company (company A) enters...

9th Nov

Practice notes

What is a tax determination?

This Practice Note explains:•what a determination in respect of direct tax (ie a direct tax determination) is•when HMRC might issue a direct tax...

Produced in partnership with Philip Rutherford 9th Nov

Practice notes

Direct tax treatment of damages and compensation payments

Where a dispute is brought to an end by a payment of damages or compensation, whether under a court order or an out-of-court settlement agreement:•the...

9th Nov

Practice notes

VAT treatment of damages and compensation payments

A damages or compensation payment may attract VAT. This depends on exactly what the payment is for. If it is purely compensatory, it will be outside...

9th Nov

In-house

Practice notes

Types of lending

Overdrafts, term loans and revolving credit facilitiesThree common types of loan facility are:•overdrafts•term loans, and•revolving credit facilities...

9th Nov

Practice notes

EIS funds, including approved knowledge-intensive funds

The Enterprise Investment Scheme (EIS) is designed to encourage investment in smaller, higher-risk trading companies by offering a range of tax...

9th Nov

Practice notes

Property authorised investment funds (PAIFs)—summary

The regime for property authorised investment funds (PAIFs, or as HMRC use in regulations and their published guidance, Property AIFs)) was introduced...

Produced in partnership with Martin Shah 9th Nov

Practice notes

Value shifting

The value shifting rules are anti-avoidance provisions. They are similar to the rules applying to depreciatory transactions in that they target the...

9th Nov

Precedents

Clause—tax gross up—commercial agreements

1 Withholding and grossing up 1.1 All sums payable under this [Agreement] by or on behalf of any party (for the...

9th Nov

Practice notes

Management buyouts—summary of tax issues for management

A management buyout, or MBO, involves the acquisition of a business by its existing management team usually with the help of private equity financing....

9th Nov

Practice notes

International movement of capital

The international movement of capital rules should be considered whenever:•any non-UK tax resident subsidiary (referred to in this note as a foreign...

9th Nov

Practice notes

Tax considerations on a loan agreement—the tax indemnity clause

This Practice Note:•explains:◦the purpose of the tax indemnity clause that is normally found in a loan agreement, and◦that the standard drafting of...

9th Nov

Most recent Employment taxes content

Practice notes

Practical guidance on the taxation of share options for internationally mobile employees

This Practice Note summarises the taxation of internationally mobile employees and directors in relation to securities options (Options) charged to...

Produced in partnership with Lewin Higgins-Green 25th Nov

Practice notes

UK pensions tax treatment of internationally mobile employees and members

Since A-day (6 April 2006), the main elements of the tax regime applicable to overseas employees and other individuals who are members of overseas...

25th Nov

Practice notes

VAT and pension scheme costs

THIS PRACTICE NOTE APPLIES IN RELATION TO OCCUPATIONAL PENSION SCHEMESThis Practice Note contains references to case law of the Court of Justice of...

Produced in partnership with Christopher Stiles of Gowling WLG 25th Nov

Practice notes

Growth shares (value shares)

What are growth shares?Growth shares, also known as value shares or hurdle shares, are a special class of shares that have restricted rights. These...

25th Nov

Q&As

Coronavirus (COVID-19)—what are the potential tax consequences of working remotely, including cross-border employment tax issues?

As a result of measures to slow down the spread of coronavirus (COVID-19), many countries including the UK are in lockdown. For employees, this often...

Produced in partnership with Laura Allwright of Simmons & Simmons and Darren Oswick of Simmons & Simmons 25th Nov

COVID-19

Practice notes

UK employment tax issues for cross-border employment

Brexit: This Practice Note contains information on a topic that will be impacted by the UK’s withdrawal from the EU. When the implementation period...

25th Nov

Practice notes

The UK tax treatment of dual contracts [Archived]

ARCHIVED: This Practice Note has been archived and is not maintained.One of the features of the UK employment income tax rules has long been to afford...

Produced in partnership with Darren Oswick of Simmons & Simmons 25th Nov

Practice notes

IR35—off-payroll workers

Coronavirus (COVID-19): in light of the coronavirus crisis, the government announced temporary measures to support the employed. For more detail on...

Produced in partnership with David Smith of DLA Piper 23rd Nov

Practice notes

Long-term incentive plans—capital gains tax consequences

FORTHCOMING CHANGE: On 14 July 2020, the Office of Tax Simplification announced that it is conducting a review of capital gains tax (CGT), seeking...

Produced in partnership with Jeremy Edwards of Baker McKenzie 19th Nov

Practice notes

Employment-related securities, securities options and capital gains tax

FORTHCOMING CHANGE: On 14 July 2020, the Office of Tax Simplification announced that it is conducting a review of capital gains tax (CGT), seeking...

Produced in partnership with Karen Cooper of Cooper Cavendish 19th Nov

Practice notes

IR35—off-payroll workers—practical considerations for the end client

The off-payroll IR35 regime broadly applies where:•from 6 April 2017, a public authority, and•from 6 April 2021, a private sector entity (other than...

18th Nov

In-house

Practice notes

IR35—off-payroll workers—practical considerations for the fee-payer

The off-payroll IR35 regime broadly applies where:•from 6 April 2017, a public authority, and•from 6 April 2021, a private sector entity (other than...

18th Nov

Practice notes

Disguised remuneration—the loan charge

Coronavirus (COVID-19): in light of the coronavirus crisis, the government announced temporary measures to support the self-employed. For more detail,...

18th Nov

Q&As

What is the VAT status of a chiropractor who provides services to a clinic via a personal service company?

A supply of services is defined in the Value Added Tax Act 1994 (VATA 1994) as 'anything which is not a supply of goods but is done for a...

13th Nov

Precedents

Settlement agreement (employment)

FORTHCOMING CHANGE relating to PENP: From 6 April 2021, an alternative PENP calculation will be available for employees paid by equal monthly...

12th Nov

Precedents

Settlement agreement (employment) (short form)

FORTHCOMING CHANGE relating to PENP: From 6 April 2021, an alternative PENP calculation will be available for employees paid by equal monthly...

12th Nov

In-house

Practice notes

How employment income is taxed—non-cash earnings or benefits

In addition to cash earnings, such as wages or salaries, many reward packages include non-cash items, such as the provision of a car, health insurance...

11th Nov

Precedents

Letter from company inviting employees to join salary sacrifice

[Insert name and address of employee][For use only where the employee is foregoing salary for the following benefits that retain Tax and/or National...

Produced in partnership with Lewin Higgins-Green and Philip Swinburn of Macfarlanes 9th Nov

Precedents

HMRC salary sacrifice clearance letter

HMRCNon-Statutory Clearance Team S0563Saxon House1 Causeway LaneLeicesterLE1 4AA[insert date of letter][insert company PAYE reference]Dear [insert...

Produced in partnership with Lewin Higgins-Green and Philip Swinburn of Macfarlanes 9th Nov

Practice notes

Salary sacrifice—basic principles

Coronavirus (COVID-19): As part of a series of measures put in place to stop the spread of coronavirus (COVID-19), HMRC announced the Coronavirus job...

Produced in partnership with Lewin Higgins-Green and Philip Swinburn of Macfarlanes 9th Nov