HMRC has added new ‘spotlight 40’ to its targeted list of tax avoidance schemes. This concerns a scheme known as the Knight Wolffe income trust, which aims to divert income from a business into a trust. The trust then loans it back to the business owners. HMRC’s view is that the scheme does not work and such loans will be caught by the proposed disguised remuneration loan charge in 2019. The Advertising Standards Authority has also ruled that the scheme promoter’s claims are misleading, including use of the HMRC logo.
HMRC has added new ‘spotlight 40’ to its targeted list of tax avoidance schemes. This concerns a scheme known as the Knight Wolffe income trust, which aims to divert income from a business into a trust. The trust then loans it back to the business owners. HMRC’s view is that the scheme does not work and such loans will be caught by the proposed disguised remuneration loan charge in 2019. The Advertising Standards Authority has also ruled that the scheme promoter’s claims are misleading, including use of the HMRC logo.
