View more on these topics

HMRC will find it hard to implement tax crackdown, says Grant Thornton

HM Revenue & Customs will have trouble enforcing its clampdowns on the ‘artificial’ creation and use of capital losses by individuals and trustees, warns Grant Thornton.

HMRC introduced draft legislation in the 2006 Pre-Budget Report seeking to prevent the ‘artificial’ creation and use of capital losses where arrangements had been made to guarantee a tax advantage, which is now being debated as part of the Finance Bill 2007.

However, the guidance accompanying the legislation explaining HMRC’s interpretation of the law is not subject to the same formal examination and it is this guidance that has raised a number of queries about how the new rules will be applied, says Grant Thornton.

Grant Thornton tax partner Ian Luder says: “Grey areas do not embed confidence in the general public and are even a good scare tactic for those using legislation in a smart but legal way.”

Recommended

Room with a view

The Government claims to be confident of meeting its revised August 1 start date for Hips although this will now apply only to properties with at least four bedrooms.

Standard Life attacked over endowments

Outgoing Standard Life chairman Sir Brian Stewart came under fire from shareholders over the performance of the life office’s endowment policies at the first AGM since it became a listed plc.

thumbnail

What employers should expect over the next five years

A major feature of our articles is looking into the Jelf Employee Benefits crystal ball to predict changes and trends that may influence the short and medium term shape of UK employee benefits.  By flagging such changes early we aim to provide our followers with the tools to make sensible and informed decisions on their benefits offerings.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment