UK – Spain DTA to Enter into Force
The UK’s tax authority has confirmed that the double taxation agreement (DTA) signed with Spain in 14 March 2013 will enter into force on June 12, 2014. The agreement will apply to corporation tax in the UK from 1 April 2015; to
See MoreUK: Tax Reform Has Boosted UK’s Appeal to Business
The UK’s Exchequer Secretary has suggested that there is currently high business confidence in the tax system. One reason for this is that the UK has recently taken measures to improve the attractiveness of its tax system including reductions to
See MoreEU: CJEU dismisses UK’s challenge to EU Financial Transaction Tax
The Court of Justice of the European Union (CJEU) has dismissed an attempt by the UK to challenge the legality of the Council decision of 22 January 2013 in respect of enhanced cooperation by a group of EU member states to introduce a financial
See MoreUK:HMRC challenged on VAT default surcharge
The victory of a newspaper group in a legal action against HMRC in relation to a large VAT penalty shows the importance of the proportionality principle of EU law. The large fine related to a late VAT return and the judgment illustrates that
See MoreEU – UK challenge to financial transaction tax rejected
The Court of Justice of the European Union (CJEU) has rejected a legal action by the UK challenging the legality of the EU Council’s decision to authorize the plan for a financial transaction tax (FTT) through the mechanism of enhanced cooperation
See MoreUK – Tougher Penalties for Offshore Evaders
Offshore tax evaders are likely to face stiffer penalties under measures recently announced in the 2014 UK Budget. The UK government has said that stricter penalties would apply to individuals who hold money in hidden bank accounts in countries that
See MoreUK – Spain DTA to Enter into Force
HM Revenue and Customs (HMRC) has announced that the new convention for the avoidance of double taxation (DTA) signed between the United Kingdom and Spain will enter into force on June 12, 2014. The agreement provides for a 10 percent maximum
See MoreIreland and the UK levy the highest rates of inheritance or estate tax
A recent report published by a firm of accountants has found that Ireland and the UK levy the highest rates of inheritance or estate tax of any major world economies. The report computes that Ireland takes on average 26 percent from the estate of a
See MoreEU Approves UK Video Game Tax Break
The European Commission has approved the new UK tax relief for video game as being in line with EU state aid rules. The videos games tax relief is designed to give an incentive to developers of video game developers to design products that meet
See MoreUS – New York suspends driving licenses of tax evaders
Last year New York passed legislation providing for the suspension of the driving license of any individual owing a sum greater than ten thousand dollars in back tax. This has apparently been a successful policy as thousands of individuals have
See MoreUnited Kingdom and Germany sign DTA Protocol
A protocol has been signed to the double tax agreement between the UK and Germany. This protocol which was signed on 17 March 2014 includes in the agreement the latest version of Article 7 (business profits) of the OECD Model. The taxation rights in
See MoreUnited Kingdom – Belgium sign Protocol
The UK and Belgium have added a second Protocol to their double taxation agreement (DTA). The original protocol amended the article on exchange of information to conform to the latest OECD standard. The second protocol which was signed on 13 March
See MoreUK – 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
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