Individuals and income tax

View Tax by content type:

News

Practice notes

Precedents

Q&As

Latest Tax News

Supreme Court finds taxpayer had not made deliberate inaccuracy and that staleness is not relevant to discovery (HMRC v Raymond Tooth)

The following Private Client news provides comprehensive and up to date legal information on Supreme Court finds taxpayer had not made deliberate inaccuracy and that staleness is not relevant to discovery (HMRC v Raymond Tooth)

Tax weekly highlights—13 May 2021

The following Tax news provides comprehensive and up to date legal information on Tax weekly highlights—13 May 2021

Contracts—‘Reasonable detail’ in notice clause determined by business purpose (Dodika Ltd and others v United Luck Group Holdings Ltd)

The following Commercial news provides comprehensive and up to date legal information on Contracts—‘Reasonable detail’ in notice clause determined by business purpose (Dodika Ltd and others v United Luck Group Holdings Ltd)

Taxpayer’s Ramsay argument fails before the Court of Appeal (Khan v HMRC)

The following Tax news provides comprehensive and up to date legal information on Taxpayer’s Ramsay argument fails before the Court of Appeal (Khan v HMRC)

Featured Tax content

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...

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...

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....

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...

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

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 of Simmons & Simmons LLP based on material originally written by Charles Goddard of Rosetta Tax LLP 12th Jan

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

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

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

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

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

FATCA in the UK—the UK:US Intergovernmental Agreement: an outline

Coronavirus (COVID-19): HMRC has stated in its International Manual that if a financial institution cannot meet the FATCA reporting deadline of 31 May...

Produced in partnership with Ali Kazimi and Chris Orchard of Hansuke Consulting Limited 12th Jan

In-house

Practice notes

Tax considerations on a loan agreement—the tax gross up clause

It is standard market practice for loan agreements (also known as facility agreements), whether bilateral or syndicated, to:•prohibit a borrower from...

Produced in partnership with Eloise Walker of Pinsent Masons 12th Jan

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 12th Jan

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

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 Martin Shah and Gary Barnett of Simmons & Simmons LLP 12th Jan

Practice notes

Unilateral relief for foreign tax

Unilateral relief, like double tax relief, aims to relieve double taxation. Subject to certain conditions being satisfied and specific limits,...

9th Nov

Practice notes

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...

Produced in partnership with Charlotte Sallabank of Katten Muchin Rosenman UK LLP 12th Jan

Practice notes

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,...

Produced in partnership with John Fuszard of Sagars Accountants Ltd 12th Jan

Practice notes

Property holding structures—direct tax treatment of a Jersey property unit trust (JPUT)

FORTHCOMING CHANGE relating to property rich collective investment vehicles and certain investors: HMRC is consulting until 16 December 2020 on draft...

9th Nov

Most recent Individuals and income tax content

Practice notes

Temporary non-residence—post 5 April 2013 departures

Temporary non-residence—post 5 April 2013 departuresTemporary non-residence—statutory anti-avoidance ruleThe statutory test for non-residence includes...

Produced in partnership with Stephen Parnham 16th May

Practice notes

Savings income—the income tax charge

Savings income—the income tax chargeThe types of income chargeable to tax as 'savings and investment income' include:•interest, being income...

16th May

Practice notes

The statutory residence test—overseas workday relief

The statutory residence test—overseas workday reliefOverseas Workday Relief (OWR) is a relief from UK income tax for certain non-domiciled...

Produced in partnership with Lisa Spearman of Mercer & Hole 16th May

Practice notes

The remittance basis—mixed funds

The remittance basis—mixed fundsUnfortunately for the practitioner—and indeed the taxpayer—many funds or assets remitted or deemed to be remitted to...

Produced in partnership with Clare Ludlam and Nick Warr of Taylor Wessing LLP 16th May

Practice notes

The statutory residence test—key concepts and definitions

The statutory residence test—key concepts and definitionsSince 6 April 2013, the statutory residence test (SRT) is the test used to determine if an...

Produced in partnership with Lisa Spearman of Mercer and Hole and Emma Loveday of Wedlake Bell LLP 16th May

Practice notes

Long-term residents and the remittance basis charge

Long-term residents and the remittance basis chargeBefore the 2008–09 tax year all UK resident and non-UK domiciled individuals (non-doms) could...

16th May

Practice notes

The basis of calculation of income tax

The basis of calculation of income taxThe calculation of income tax liabilities is usually done by a person's tax adviser or by HMRC following...

16th May

Practice notes

Transfer of assets abroad—transferors having the power to enjoy income

Transfer of assets abroad—transferors having the power to enjoy incomeThis Practice Note considers the charge to of 'transferors' under the transfer...

16th May

Practice notes

Domicile

DomicileThe concepts of domicile and residence are used to establish the extent of an individual’s liability to UK taxation. Specifically, domicile...

16th May

Practice notes

The structure of the statutory residence test

The structure of the statutory residence testThe UK’s first formal tax residency test for individuals known as the statutory residence test (SRT) took...

Produced in partnership with Lisa Spearman of Mercer and Hole and Emma Loveday of Wedlake Bell LLP 16th May

Practice notes

Transfer of assets abroad—the benefits charge

Transfer of assets abroad—the benefits chargeThis Practice Note considers the charging provisions on individuals under section 731 of the Income Tax...

16th May

Practice notes

The remittance basis—conditions C and D

The remittance basis—conditions C and DTo determine whether a remittance has occurred for the purposes of the remittance basis of taxation, reference...

Produced in partnership with Clare Ludlam and Nick Warr of Taylor Wessing LLP 16th May

Practice notes

Exemptions and reliefs from income tax

Exemptions and reliefs from income taxFor income tax rates and allowances applicable in the current tax year, see Practice Note: Key UK tax rates,...

16th May

Practice notes

The meaning of remittance and eligibility for the remittance basis

The meaning of remittance and eligibility for the remittance basisIndividuals who are resident and domiciled, or deemed domiciled, in the UK are...

Produced in partnership with Clare Ludlam and Nick Warr of Taylor Wessing LLP 16th May

Practice notes

Relief for income tax losses

Relief for income tax lossesReliefs entitle taxpayers to reduce the amount of income tax payable. When calculating liability to income tax, a taxpayer...

16th May

Practice notes

Profit fragmentation and tax avoidance

Profit fragmentation and tax avoidanceFrom April 2019, the profit fragmentation rules aim to prevent UK-resident individuals, including individual...

16th May

Practice notes

Statutory residence test—working full-time or sufficient hours

Statutory residence test—working full-time or sufficient hoursSTOP PRESS: On 9 April 2020, a letter from the Chancellor to the Chair of the Treasury...

Produced in partnership with Emma Loveday 16th May

Practice notes

Deemed domicile for tax from 6 April 2017

Deemed domicile for tax from 6 April 2017At Summer Budget 2015, the government announced wide-ranging reforms to the deemed domicile rules and also to...

16th May

Practice notes

Introductory guide to residence and domicile for UK tax purposes

Introductory guide to residence and domicile for UK tax purposesThe concepts of residence and domicile are used to establish the extent of an...

16th May

Practice notes

Cap on unlimited income tax reliefs for individuals

Cap on unlimited income tax reliefs for individualsThe cap on unlimited income tax reliefs applies from 6 April 2013. It prohibits relief for certain...

16th May