HMRC is consulting until 8 June 2018 on extending the scope of the existing security deposit regime to include corporation tax and the construction industry scheme with effect from April 2019.
The government announced at Autumn Budget 2017 its intention to introduce legislation for these changes in a forthcoming Finance Bill.
HMRC’s current power to require high-risk businesses to provide an upfront security deposit only applies to VAT, PAYE, NICs, landfill tax, aggregates levy, climate change levy, IPT and certain gambling duties. HMRC estimates that extending security provisions to CT and CIS will bring an additional 400–500 cases in scope each year.
A separate discussion paper on ‘Tax abuse and insolvency’ will be published in due course to look at possible measures to prevent persistent non-compliance and phoenixism.
HMRC is consulting until 8 June 2018 on extending the scope of the existing security deposit regime to include corporation tax and the construction industry scheme with effect from April 2019.
The government announced at Autumn Budget 2017 its intention to introduce legislation for these changes in a forthcoming Finance Bill.
HMRC’s current power to require high-risk businesses to provide an upfront security deposit only applies to VAT, PAYE, NICs, landfill tax, aggregates levy, climate change levy, IPT and certain gambling duties. HMRC estimates that extending security provisions to CT and CIS will bring an additional 400–500 cases in scope each year.
A separate discussion paper on ‘Tax abuse and insolvency’ will be published in due course to look at possible measures to prevent persistent non-compliance and phoenixism.
