The following Corporation Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:
From 1 April 2019 (6 April 2019 for income tax purposes), targeted anti-avoidance legislation tackles arrangements that involve fragmentation of business profits. The aim of these rules is to ensure that the full amount of profit derived from activity in the UK is taxed in the UK.
The rules counteract the arrangements by bringing amounts back into charge to UK tax, either by disallowing expenses or by attributing receipts back to the UK business. The targeted avoidance typically involves some or all of the profits of a UK business being diverted to an offshore entity which pays little or no tax. The provisions are not intended to target normal commercial transactions.
The profit fragmentation legislation does not override existing rules where they apply to an arrangement effectively, such as the transfer pricing regime. If other provisions have already applied to fully counteract the tax advantage, then no further adjustments
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Generally speaking, inheritance tax (IHT) is charged only on transfers of value by individuals and trusts. However, to prevent avoidance of the tax, the charge is extended to participators in close companies where:•a close company makes a transfer of value, or•the share capital or loan capital of a
Trust property, which is the subject of a qualifying interest in possession (QIIP), may become chargeable to inheritance tax on the following occasions:•on the death of the beneficiary with the interest in possession•on the death of the beneficiary within seven years after a transfer or lifetime
The married couple’s allowance (MCA) is only available if one of the two spouses or civil partners was born before 6 April 1935. This means that one member of the couple must be at least 87 years old on 5 April 2022 to qualify for an allowance in the 2021/22 tax year.There is a distinction in the
If the self assessment tax return shows that a repayment is due, the taxpayer can claim a repayment or leave it as a credit on their statement of account.The quickest and safest method is for HMRC to make the payment direct to the taxpayer’s bank or building society account and so they are asked to
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