Market leading insight for tax experts
View online issue

HMRC launches open consultation on partnership tax

printer Mail

HMRC has published an open consultation on changes to two aspects of the tax rules on partnerships in order to prevent tax loss arising from disguising employment relationships through limited liability partnerships, and certain arrangements involving allocation of profits and losses among partnership members.

The changes will take effect from 6 April 2014, with the government seeking views on proposals for changing the partnerships rules by 9 August 2013.

Commenting on the proposals, Baker Tilly’s George Bull said: ‘HMRC’s concerns are easy to understand, but these proposals are far too complex and will impose additional uncertainty and administrative burdens on affected individuals, partnerships and LLPs.’