Protecting clients – both proactively via tax governance and reactively via tax disputes resolution. Now more than ever, especially as we emerge from the pandemic, taxpayers must achieve an equilibrium between standing up to scrutiny from the tax authorities on the one hand, and on the other hand, doing their fair share to be an integral part of society (i.e. pay the right amount of tax and be tax compliant). Tax disputes resolution and good tax governance play essential roles in striking this balance.
If you could make one change to a tax law or practice, what would it be?
I’d simplify the tax legislation. Based on my experience as a tax litigator and with my tax disputes hat on, my observation is that the tax legislation in its current form is unnecessarily too complex. Also it could penalise responsible taxpayers who want to understand their tax obligations and comply with these in a timely manner (these taxpayers constitute the vast majority of the UK taxpayers). At the same time, these legislative complexities may benefit egregious behaviours on the part of a minority of taxpayers and their unscrupulous advisers who seek to abuse the tax system.
What are clients currently asking about?
Managing reputational risk when it comes to tax is at the top of the agenda of almost every client. Transparency is the new norm and with tax authorities around the world exchanging data and methodologies on how to read and use this data, taxpayers need help managing this risk, while complying with their tax obligations in all the jurisdictions they are operating. This is especially the case for businesses which have been through domestic and/or international tax enquiries, as we know these are not for the faint hearted. I help clients navigate these complexities while achieving their objectives with respect to their business growth strategy.
Clients are also asking about how they can be sustainable from a tax point of view, i.e. how to apply the ESG standard to taxation. In this regard, taxpayers would not need more legislation but rather relatable and pragmatic examples of how this can be achieved. Tax governance has a part to play in the practical application of the E (environmental), the S (social) and the G (governance). In practice, we work together to design their tax governance matrix: what needs to be done, by whom, when, where and how, in order to stand up to scrutiny. This journey starts by designing their own tax strategy and ensuring it is aligned to their business strategy.
Are any new rules causing a particular problem in practice?
Despite the fact that the rules on corporate criminal offences for failing to prevent criminal facilitation of tax evasion are not a new piece of legislation, we are awaiting the evidence of prosecutions of the failures identified by HMRC in its current 28 investigations. This legislation has sharp teeth, but it has yet to show its bite. Only then will the legislation have the desired effect to change the underlying behaviour for the better.
Finally, you might not know this about me but…
I am a voracious reader as well as an amateur chef. I am always on the hunt for a good recipe book, to add to my existing collection (which currently stands at over 200 books!).
Protecting clients – both proactively via tax governance and reactively via tax disputes resolution. Now more than ever, especially as we emerge from the pandemic, taxpayers must achieve an equilibrium between standing up to scrutiny from the tax authorities on the one hand, and on the other hand, doing their fair share to be an integral part of society (i.e. pay the right amount of tax and be tax compliant). Tax disputes resolution and good tax governance play essential roles in striking this balance.
If you could make one change to a tax law or practice, what would it be?
I’d simplify the tax legislation. Based on my experience as a tax litigator and with my tax disputes hat on, my observation is that the tax legislation in its current form is unnecessarily too complex. Also it could penalise responsible taxpayers who want to understand their tax obligations and comply with these in a timely manner (these taxpayers constitute the vast majority of the UK taxpayers). At the same time, these legislative complexities may benefit egregious behaviours on the part of a minority of taxpayers and their unscrupulous advisers who seek to abuse the tax system.
What are clients currently asking about?
Managing reputational risk when it comes to tax is at the top of the agenda of almost every client. Transparency is the new norm and with tax authorities around the world exchanging data and methodologies on how to read and use this data, taxpayers need help managing this risk, while complying with their tax obligations in all the jurisdictions they are operating. This is especially the case for businesses which have been through domestic and/or international tax enquiries, as we know these are not for the faint hearted. I help clients navigate these complexities while achieving their objectives with respect to their business growth strategy.
Clients are also asking about how they can be sustainable from a tax point of view, i.e. how to apply the ESG standard to taxation. In this regard, taxpayers would not need more legislation but rather relatable and pragmatic examples of how this can be achieved. Tax governance has a part to play in the practical application of the E (environmental), the S (social) and the G (governance). In practice, we work together to design their tax governance matrix: what needs to be done, by whom, when, where and how, in order to stand up to scrutiny. This journey starts by designing their own tax strategy and ensuring it is aligned to their business strategy.
Are any new rules causing a particular problem in practice?
Despite the fact that the rules on corporate criminal offences for failing to prevent criminal facilitation of tax evasion are not a new piece of legislation, we are awaiting the evidence of prosecutions of the failures identified by HMRC in its current 28 investigations. This legislation has sharp teeth, but it has yet to show its bite. Only then will the legislation have the desired effect to change the underlying behaviour for the better.
Finally, you might not know this about me but…
I am a voracious reader as well as an amateur chef. I am always on the hunt for a good recipe book, to add to my existing collection (which currently stands at over 200 books!).
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