The case of Shinelock Ltd v HMRC revolves around a payment made by a close company to its non-resident sole shareholder of an amount equal to the gain on the disposal of UK property. It raises technical issues as to whether the payment falls to be treated as a distribution, as a loan relationship debit or as neither; and procedural issues as to the circumstances in which a late claim to relief will be treated as allowed by HMRC or in which such a claim is susceptible to the jurisdiction of the First-tier Tribunal, reaching what will be considered by some a surprising conclusion that may on occasion be a life-saver when time limits have been missed.
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The case of Shinelock Ltd v HMRC revolves around a payment made by a close company to its non-resident sole shareholder of an amount equal to the gain on the disposal of UK property. It raises technical issues as to whether the payment falls to be treated as a distribution, as a loan relationship debit or as neither; and procedural issues as to the circumstances in which a late claim to relief will be treated as allowed by HMRC or in which such a claim is susceptible to the jurisdiction of the First-tier Tribunal, reaching what will be considered by some a surprising conclusion that may on occasion be a life-saver when time limits have been missed.
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