The government published Finance Bill 2018 on 1 December (named Finance (No 2) Bill, being the second Finance Bill of the 2017-19 parliamentary session). Relatively short by recent standards, the Bill contains 50 clauses and 12 schedules, running to 184 pages.
A number of measures in the Bill were published in draft on 13 September and at the Autumn Budget on 22 November.
Second reading will take place on Monday 11 December and a committee of the Whole House is scheduled to debate the Bill on Monday 18 and Tuesday 19 December.
1 December also saw publication of several new consultation documents and responses to earlier consultations, some of which have fed into legislation in Finance Bill 2018. The responses to consultations included:
bringing non-resident companies’ UK property income and gains (previously chargeable to income tax and CGT) into corporation tax, following an announcement at the Autumn Budget that the change will be made in April 2020;
streamlining the advance assurance service for tax-advantaged venture capital schemes, which the government will continue to offer, although HMRC will not provide opinions on speculative applications after 2 January 2018;
VAT grouping, with further consideration to be given to making changes in light of case law developments;
taxation of employee expenses, for which certain process improvements were announced at the Autumn Budget;
split payment model for VAT as a new collection mechanism for online sales, on which the government will consult further in 2018;
VAT domestic reverse charge to prevent VAT losses in the construction sector, on which the government will consult further in 2018, with a view to implementing legislation from October 2019;
requirement for businesses or intermediaries creating or promoting certain types of complex offshore financial arrangements to notify HMRC, which the government will now take forward with international partners on the development of multinational rules; and
making tax digital sanctions for late submission and late payment, which has been incorporated into a further consultation document on late payment sanctions published on 1 December.
The government published Finance Bill 2018 on 1 December (named Finance (No 2) Bill, being the second Finance Bill of the 2017-19 parliamentary session). Relatively short by recent standards, the Bill contains 50 clauses and 12 schedules, running to 184 pages.
A number of measures in the Bill were published in draft on 13 September and at the Autumn Budget on 22 November.
Second reading will take place on Monday 11 December and a committee of the Whole House is scheduled to debate the Bill on Monday 18 and Tuesday 19 December.
1 December also saw publication of several new consultation documents and responses to earlier consultations, some of which have fed into legislation in Finance Bill 2018. The responses to consultations included:
bringing non-resident companies’ UK property income and gains (previously chargeable to income tax and CGT) into corporation tax, following an announcement at the Autumn Budget that the change will be made in April 2020;
streamlining the advance assurance service for tax-advantaged venture capital schemes, which the government will continue to offer, although HMRC will not provide opinions on speculative applications after 2 January 2018;
VAT grouping, with further consideration to be given to making changes in light of case law developments;
taxation of employee expenses, for which certain process improvements were announced at the Autumn Budget;
split payment model for VAT as a new collection mechanism for online sales, on which the government will consult further in 2018;
VAT domestic reverse charge to prevent VAT losses in the construction sector, on which the government will consult further in 2018, with a view to implementing legislation from October 2019;
requirement for businesses or intermediaries creating or promoting certain types of complex offshore financial arrangements to notify HMRC, which the government will now take forward with international partners on the development of multinational rules; and
making tax digital sanctions for late submission and late payment, which has been incorporated into a further consultation document on late payment sanctions published on 1 December.
