UK – VAT registration threshold will rise
The registration threshold for VAT in the UK is to increase to GBP 81.000 from April 2014. An enterprise or sole trader must register for VAT when sales reach this annual level. Following registration a trader must charge VAT on sales and pay this
See MoreUK – Budget Supports Businesses to Deliver Growth
The UK budget announcements include measures in support of business. The research and development tax credit available to small businesses is to be increased from 11 percent to 14 percent. The Seed Enterprise Investment Scheme that gives tax relief
See MoreUK Pushes for conclusion of the Canada-EU FTA
The UK is hoping for a swift conclusion to negotiations for a free trade agreement (FTA) between the EU and Canada, as this could be of considerable benefit to UK companies. The EU is Canada’s second largest trading partner after the US, based on
See MoreUK Court of Appeal rules on payment of corporation tax on VAT repayments
In a case concerning an online retail group in the UK the Court of Appeal has determined that the taxpayer must pay corporation tax in respect of VAT repayments received. The consequence of this victory for the tax authority is that many taxpayers
See MoreUnited Kingdom – Conservatives keen to ease IHT
The UK Prime Minister has confirmed that his party still holds the view that the inheritance tax threshold should be raised to GBP 1 million, and that this is likely to be addressed in the party’s manifesto for the next election which is to take
See MoreUnited Kingdom: Supreme Court Rules in Travel Agent VAT Case
A recent UK case involved the issue of whether the taxpayer was acting as an intermediary or was subject to the special VAT scheme for travel agents. The UK legislation is based on EU rules that require member states to apply the special scheme for
See MoreUK Budget announcements 2014
The UK budget announcements on 19 March 2014 include a significant change to the pension regime. Currently, most people must invest their pension fund in annuity after receiving a certain percentage of the fund as a lump sum tax free payment.
See MoreProtocol to treaty between Belgium and United Kingdom signed
Belgium and the UK have signed a second protocol to their double tax treaty. The protocol clarifies that certain amendments made by the first protocol to the treaty apply to regional taxes and to the communities. The protocol also confirms that
See MoreAlgeria – Negotiation of DTA with the United Kingdom
Negotiations have begun between Algeria and the United Kingdom towards a double taxation agreement (DTA), it was confirmed on March 2, 2014. No further details of the negotiations are currently
See MoreUnited Kingdom – India DTA protocol
As notified by the Indian Ministry of Finance on February 10, 2014, the Protocol amending the India-UK double taxation agreement (DTA) entered into force in the UK and India on December 27, 2013. The DTA Protocol is immediately effective in India,
See MoreUnited Kingdom – HMRC report on offshore tax evasion
The United Kingdom government is continuing to take action against artificial tax avoidance and tax evasion. In this connection the tax administration (HMRC) has issued a "corporate report," which sets out how HMRC addresses offshore tax evasion and
See MoreUK – Shadow Foreign Secretary calls for maximum tax devolution for Scotland
The UK’s shadow foreign secretary has stated that the further devolution of tax powers could strengthen the accountability of the Scottish Parliament. In April 2015 the devolution of Landfill Tax will be carried out and a new Land and Buildings
See MoreGibraltar offers new pension Schemes to expats
These contributions may exceed the usual UK limit of GBP50,000 per year. This scheme is being offered in addition to Gibraltar's traditional Qualifying Recognized Overseas Pension Schemes (QROPS), which are often used by UK expats to transfer their
See MoreUK: Bitcoin VAT exemption
The UK tax administration HMRC would exempt transactions in Bitcoins from the 20% UK VAT net on each sale or on profit margins, although exchange commissions would remain liable. HMRC originally provided guidance in November 2013 that Bitcoins
See MoreUK: National audit office reports unrecovered tax debt of GBP15.1bn
National audit office of UK has reported that that HM Revenue and Customs (HMRC) is owed at least GBP15.1bn in unpaid debt. The report also adds that the Government should revise this responsibility and thus the recovery of tax credit over payments
See MoreUK: publishes draft legislation to eliminate stamp duty and stamp duty reserve tax on Exchange Traded Funds (ETFs)
HMRC has published for consultation a draft Statutory Instrument and a Tax Information and Impact Note on 17 February 2014. It was intended to abolish of stamp duty and stamp duty reserve tax on transfers of interests in Exchange Traded Funds
See MoreDTA between UK and Albania entered into force
The Double Taxation Agreement (DTA) between UK and Albania has entered into force on December 30, 2013. The agreement follows the OECD Model Convention. It sets out reduced withholding tax rates as follows: 5 percent on dividends for companies
See MoreUK refuses to reduce tourism VAT rate
The UK Government has refused to reduce tourism VAT rate with an argument that there is no connection between tax subsidies and the number of tourist. The Members of Parliament who supported the proposal of reducing VAT on tourism have said that the
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