The value of the retail price index (RPI), used for calculating chargeable gains indexation allowance for corporation tax purposes, for September 2014 is 257.6.
IHT property trust filing dates
HMRC has stated that the filing and payment dates given at page 22 of the current version of IHT113 How to fill in form IHT100WS are incorrect for chargeable events arising on relevant property trusts on or after 6 April 2014. Following changes by FA 2014, the date is now 6 months after the end of the month in which the charge arose, rather than 30 April in the following year. HMRC will update guide IHT113 as soon as possible.
VAT: refunds to museums and galleries
The Value Added Tax (Refund of Tax to Museums and Galleries) (Amendment) Order, SI 2014/2858, has now been laid comes into force on 1 December 2014. The order updates entries and adds new bodies providing entry to museums and galleries to those entitled to VAT refunds in connection with free admission. Two of the new bodies are granted a retrospective right to reclaim VAT.
HMRC update VAT fraud manual
HMRC has published details of updates it has made to its VAT fraud (VATF) manual. Changes made include the addition of new sections dealing with:
the validity of VAT invoices;
when and how submissions to the VAT fraud Team should be made by officers; and
notifying taxable persons using the Kittel principle (where entitlement to the right to deduct input tax is refused), the Mecsek principle (where zero rating has been refused) and when certain decisions are reached (including to deregister because of abuse).
Scottish landfill tax and LBTT regulations
The Landfill Tax (Scotland) Act 2014 (Commencement No 1) Order, SI 2014/277, comes into force on 7 November 2014. These will allow Scottish ministers to make secondary legislation to prescribe landfill site activities and disposal in addition to setting the amounts of tax, weighing and measuring of material, credit-related items and the information required to keep the register up to date. The Land and Buildings Transaction Tax (Scotland) Act 2013 (Commencement No 1) Order, SI 2014/279, also comes into force on 7 November 2014. Powers under the Land and Buildings Transaction Tax (Scotland) Act 2013 allowing the Scottish ministers to make secondary legislation will be brought into effect from this date, and include setting the rates and reliefs for land and buildings transaction tax (LBTT) as well as defining residential property and the tax’s application to leases.
IPT spacecraft exemption
Following earlier consultation, the Insurance Premium Tax (Non-taxable Insurance Contracts) Order, SI 2014/2856, exempts from IPT certain insurance contracts covering spacecraft, including satellites, with effect from 1 December 2014.
UK signs TIEA with Macau
HM Treasury has confirmed that the UK signed a TIEA with Macau on 3 September 2014 – a bilateral agreement pursuant to which both states will agree to cooperate in tax matters by exchanging, on request, information relevant to tax matters. It will, in the light of the OECD’s BEPS action plan, and its emphasis on the automatic exchange of information on tax matters, be interesting to track the continued use and need for TIEAs. The text of the Macau TIEA will be made available on GOV.UK in due course. Before coming into force, the text of the TIEA will need to be scheduled to an order and laid before the House of Commons. Read the written ministerial statement.
Tax avoidance settlement opportunity to close
On 31 October 2014, HMRC is closing its ‘Autumn Statement settlement opportunity’, first announced in December 2012, to users of a number of specific schemes for which litigation has begun. HMRC considers withdrawal of settlement opportunities on a case-by-case basis and is writing to those affected to let them know when the settlement opportunity is being withdrawn for their scheme.
Revenue Scotland regulations published
The Revenue Scotland and Tax Powers Act 2014 (Commencement No. 1) Order, SI 2014/278, has been laid before the Scottish Parliament. The Scottish ministers’ powers to issue subordinate legislation on devolved property tax laws will be brought into effect on 7 November 2014. This includes making consequential amendments. From the same date, the ministers will be able to introduce rules governing the Scottish tax tribunal system.
HMRC guidance
HMRC has issued the following on its website:
an update to the QROPS list;
Notice IPT1: Insurance premium tax;
Notice 196: Excise goods: registration and approval of warehousekeepers, warehouse premises, owners of goods and registered consignors;
Excise Notice 204A: Temporary registered consignees; and
The value of the retail price index (RPI), used for calculating chargeable gains indexation allowance for corporation tax purposes, for September 2014 is 257.6.
IHT property trust filing dates
HMRC has stated that the filing and payment dates given at page 22 of the current version of IHT113 How to fill in form IHT100WS are incorrect for chargeable events arising on relevant property trusts on or after 6 April 2014. Following changes by FA 2014, the date is now 6 months after the end of the month in which the charge arose, rather than 30 April in the following year. HMRC will update guide IHT113 as soon as possible.
VAT: refunds to museums and galleries
The Value Added Tax (Refund of Tax to Museums and Galleries) (Amendment) Order, SI 2014/2858, has now been laid comes into force on 1 December 2014. The order updates entries and adds new bodies providing entry to museums and galleries to those entitled to VAT refunds in connection with free admission. Two of the new bodies are granted a retrospective right to reclaim VAT.
HMRC update VAT fraud manual
HMRC has published details of updates it has made to its VAT fraud (VATF) manual. Changes made include the addition of new sections dealing with:
the validity of VAT invoices;
when and how submissions to the VAT fraud Team should be made by officers; and
notifying taxable persons using the Kittel principle (where entitlement to the right to deduct input tax is refused), the Mecsek principle (where zero rating has been refused) and when certain decisions are reached (including to deregister because of abuse).
Scottish landfill tax and LBTT regulations
The Landfill Tax (Scotland) Act 2014 (Commencement No 1) Order, SI 2014/277, comes into force on 7 November 2014. These will allow Scottish ministers to make secondary legislation to prescribe landfill site activities and disposal in addition to setting the amounts of tax, weighing and measuring of material, credit-related items and the information required to keep the register up to date. The Land and Buildings Transaction Tax (Scotland) Act 2013 (Commencement No 1) Order, SI 2014/279, also comes into force on 7 November 2014. Powers under the Land and Buildings Transaction Tax (Scotland) Act 2013 allowing the Scottish ministers to make secondary legislation will be brought into effect from this date, and include setting the rates and reliefs for land and buildings transaction tax (LBTT) as well as defining residential property and the tax’s application to leases.
IPT spacecraft exemption
Following earlier consultation, the Insurance Premium Tax (Non-taxable Insurance Contracts) Order, SI 2014/2856, exempts from IPT certain insurance contracts covering spacecraft, including satellites, with effect from 1 December 2014.
UK signs TIEA with Macau
HM Treasury has confirmed that the UK signed a TIEA with Macau on 3 September 2014 – a bilateral agreement pursuant to which both states will agree to cooperate in tax matters by exchanging, on request, information relevant to tax matters. It will, in the light of the OECD’s BEPS action plan, and its emphasis on the automatic exchange of information on tax matters, be interesting to track the continued use and need for TIEAs. The text of the Macau TIEA will be made available on GOV.UK in due course. Before coming into force, the text of the TIEA will need to be scheduled to an order and laid before the House of Commons. Read the written ministerial statement.
Tax avoidance settlement opportunity to close
On 31 October 2014, HMRC is closing its ‘Autumn Statement settlement opportunity’, first announced in December 2012, to users of a number of specific schemes for which litigation has begun. HMRC considers withdrawal of settlement opportunities on a case-by-case basis and is writing to those affected to let them know when the settlement opportunity is being withdrawn for their scheme.
Revenue Scotland regulations published
The Revenue Scotland and Tax Powers Act 2014 (Commencement No. 1) Order, SI 2014/278, has been laid before the Scottish Parliament. The Scottish ministers’ powers to issue subordinate legislation on devolved property tax laws will be brought into effect on 7 November 2014. This includes making consequential amendments. From the same date, the ministers will be able to introduce rules governing the Scottish tax tribunal system.
HMRC guidance
HMRC has issued the following on its website:
an update to the QROPS list;
Notice IPT1: Insurance premium tax;
Notice 196: Excise goods: registration and approval of warehousekeepers, warehouse premises, owners of goods and registered consignors;
Excise Notice 204A: Temporary registered consignees; and
