Following the Budget announcements on 20 March, the UK published the Finance Bill 2013 on 28 March 2013. The Bill includes a reduction in the main rate of corporation tax to 21% in 2014 and to 20% in 2015. Explanatory Notes to the Finance Bill have been issued, and the detailed outline of the Patent Box legislation which applies from 1 April 2013 has been updated in the HMRC’s Corporate Intangibles and R&D Manual.
Explanatory Notes to the General Anti Abuse Rule (GAAR) are to be published when the Finance Bill is introduced into Parliament. HMRC’s Guidance on the GAAR is to be approved by an Advisory Panel, whose interim members are to remain in place until 15 April to enable them to complete this task. A Chairman has been appointed to the Advisory Panel and will be called upon to give its opinion on cases where HMRC considers the GAAR may be applicable.
