Tax News

Tax news highlights: June 2021

In this podcast, Zoe Andrews and Tanja Velling discuss the Supreme Court decisions in Hurstwood Properties on the application of the Ramsay principle to business rates legislation and Tooth on discovery assessments, clarifying the meaning of “deliberate error” and dismissing the concept of staleness. They also consider two cases concerning tax covenant and warranty claims, Dodika before the Court of Appeal and TP Icap Ltd before the High Court, and judicial review proceedings in Heathrow Airport in respect of the withdrawal of an extra-statutory concession in respect of tax-free shopping.

The podcast also provides an update on potentially settled points and open issues following the G7 agreement in respect of the OECD’s international tax reform project, and it covers the European Commission’s plan to make EU business taxation fit for the 21st century, highlighting the planned proposals for BEFIT, DEBRA and a WTO-compliant digital levy.

Tax News Highlights - May 2021

In this podcast, Zoe Andrews and Tanja Velling provide an update on the progress of Finance Bill 2021, noting some of the Government amendments made during the Committee Stage.

They also discuss two First-tier Tribunal and one High Court decisions. The First-tier Tribunal decisions are those in Euromoney on the application of the purpose test in section 137 of the Taxation of Chargeable Gains Act 1992 to prevent rollover treatment on a share-for-share exchange and in Aozora on the interaction between the UK’s rules on unilateral relief from double taxation and the Limitation on Benefits article in the US/UK tax treaty. The High Court decision concerns the Danish tax authority SKAT’s attempt to reclaim Danish withholding tax refunds.

The podcast further covers certain international tax topics. Zoe and Tanja consider the impact of the Biden/Harris administration’s tax reform proposals on the OECD’s international tax reform project, the adoption of a new Article 12B (Income from Automated Digital Services) for the UN’s Model Tax Treaty and the consultation on proposed changes to the commentary on Article 9 (Associated enterprises) of the OECD’s Model Tax Treaty.

Tax news highlights: April 2021

In this podcast, Zoe Andrews and Tanja Velling provide an overview of the UK Government’s announcements made on Tax Day, 23 March 2021, highlighting three measures that were shelved and three measures on which further information will be published in due course.
 
Five consultations are discussed in more detail: the call for evidence on the tax administration framework to support a 21st century tax system, the second consultation on the notification of uncertain tax treatment by large businesses, the consultation on options for updating transfer pricing documentation requirements, the consultation on raising standards in the tax advice market which focusses on the introduction of compulsory professional indemnity insurance for tax advisers, and the consultation on the reform of the taxation of securitisation companies.
 
The podcast covers the decisions of the Court of Justice of the European Union in Cases C-459/19 Wellcome Trust, considering whether a taxable person is “acting as such” for the purposes of Article 44 of the Principal VAT Directive when receiving supplies for the purposes of its non-economic business activities, and C-812/19 Danske Bank on the VAT treatment of supplies between a VAT-grouped head office and its non-VAT-grouped foreign branch. Zoe and Tanja also briefly touch on DAC7.

Tax News Highlights - March 2021

In this podcast, Zoe Andrews and Tanja Velling discuss highlights from the UK Budget, including the planned increase of the headline corporation tax rate, the proposed review of tax administration practices, and the introduction of a more generous loss carry-back and enhanced capital allowances.

The podcast provides an update on certain OECD and EU developments, including on the International Compliance Assurance Programme and public country-by-country reporting. It discusses European Commission consultations on business taxation for the 21st century, on safeguarding the rights of taxpayers engaged in cross-border activities and on improvements to the gathering and exchange of information on crypto-assets and e-money.

Finally, Zoe and Tanja consider four recent cases, the First-Tier Tribunal decisions in HFFX and Odey Asset Management on the tax treatment of funds reallocated from the corporate member of a partnership to the individual members, and Imprimatur Capital Holdings on input VAT recovery, and the Court of Appeal decision in Eastern Power Networks, addressing the extent to which the First-tier Tribunal should use its discretion to decide substantive tax points in a procedural application.

Tax News Highlights - February 2021

In this podcast, Zoe Andrews and Tanja Velling consider the evaluation of HMRC’s implementation of powers, obligations and safeguards introduced since 2012 which was published on 4 February 2021, the review of the UK’s funds regime including the consultation on the tax treatment of asset holding companies in alternative fund structures and the OECD’s updated guidance on tax treaties and the impact of the COVID-19 pandemic. Zoe and Tanja also discuss certain VAT developments, including the First-tier Tribunal decision in Wilmslow, the European Commission’s public consultation on VAT and financial services, and HMRC’s updated guidance on the payment of VAT that was deferred between March and June 2020. They finally touch on the European Commission’s grounds for appealing the General Court’s decision in the Apple state aid case, rumours of measures that may be included in the UK’s March Budget and potential US tax measures.

Tax News Highlights - January 2021

In this podcast, Zoe Andrews and Tanja Velling provide an update on tax aspects of the EU-UK Trade and Co-operation Agreement, OECD guidance on the transfer pricing implications of COVID-19, a House of Lords report giving short shrift to a number of Government proposals and plans to withdraw Revenue and Customs Brief 12/2020 on the VAT treatment of early termination fees and compensation payments. The podcast also covers the Court of Appeal decision in Development Securities on corporate tax residence, and the Upper Tribunal decisions in Gallaher on exit taxes, Stephen Warshaw on the definition of “ordinary share capital” and Embiricos on partial closure notices.

Tax News Highlights - December 2020

In this podcast, Zoe Andrews and Tanja Velling look back over certain 2020 tax news highlights and forward at what 2021 may bring. The podcast covers international tax reform, and certain tax aspects of Brexit and relating to COVID-19. Zoe and Tanja also review three key cases decided in 2020, the Apple state aid case and two UK cases, Newey on VAT and abuse of law, and Fowler on deeming provisions and double tax treaty interpretation, and point to three cases to watch out for in 2021 .

Tax News Highlights - November 2020

In this podcast, Zoe Andrews and Tanja Velling discuss the recent cases, including the First-tier Tribunal decision in Blackrock and the Court of Appeal decision in Total, some good news on VAT recovery and financial services and the draft legislation for Finance Bill 2021 which was published on 12 November 2020, also considering documents published alongside the draft legislation and what its publication is likely to mean for the timing of the publication and enactment of the Finance Bill.