Tax tips newsletter for professionals

This article considers the settlements anti-avoidance legislation, which has been in the news over the last few months – particularly after HMRC publicised its dislike of some family company planning setups.  

Lee Sharpe warns that the anti-avoidance legislation has a wider reach than some may realise. 

Most employers pay employees mileage allowances when an employee uses their own car for business mileage. Up to certain limits, payments can be made to employees free of tax and National Insurance contributions (NICs).  

Sarah Bradford explains why you may be due a National Insurance contributions refund if you pay car allowances to your employees. 

A child (irrespective of age) is an independent person within the UK tax system, and is subject to tax. Any determination of their tax exposure involves a determination of their domicile status.   

Malcolm Finney outlines how a child’s common law domicile status is determined and its implications.

Partnerships are broadly defined (in TCGA 1992, s 59(1)) as where two or more persons carry on a trade or business together with a view to a profit. For capital gains tax (CGT) purposes, members of limited liability partnerships (LLPs) are treated the same way as partners in an unincorporated partnership.   

Joe Brough looks at how capital gains are taxed when there is a disposal of chargeable assets held by a partnership and the reliefs available to the individual partners. 

Mark McLaughlin reviews two recent important tax cases:

The place of supply of services legislation was overhauled in 2010 and remained unaffected by Brexit. The basic position is that services relating to land are considered to be supplied where the land is situated.   

Andrew Needham considers how businesses should treat land-related services received from overseas. 

The definition of ‘trading company’ is critical to three important reliefs provided by TCGA 1992: 

- gift relief (under section 165 and Schedule 7); 

- business asset disposal relief (BADR) (in section 169I and Schedule 7ZA); and 

- substantial shareholdings exemption (SSE) (in section 192A and Schedule 7AC). 

Ken Moody addresses the current state of play on the definition of ‘trading company’ for CGT purposes in the light of recent case law and HMRC guidance.