International rugby players will have to pay up…......

The UK Government recently announced a special exemption from UK income tax for non-resident athletes and footballers coming to the UK to appear at such events as the London Anniversary Games in 2013, the Glasgow Commonwealth Games in 2014 or the Champions League Cup Final at Wembley in 2013, following discussions with the governing bodies of these sports.

Jersey & UK sign a FATCA-type Agreement

Like Guernsey, its near neighbour, Jersey has concluded a FATCA type Agreement with the UK in a further bid to combat tax evasion.  The Jersey Agreement, similar to the FATCA Agreements by both parties with the USA, encompasses a special reporting arrangement for individuals who are resident but not domiciled in the UK, an exchange of information agreement and a disclosure facility.

Highlights from the Budget March 2013 - Personal & Expatriate

Highlights from the Budget  March 2013 - Employer loans as a benefit-in-kind 

The exemption for small, employer-provided loans at less than the official rate of interest, will be increased from £5,000 to £10,000 from 6 April 2014.  This is a welcomed move since the current £5,000 limit has been in place for many years and this merely introduces a sensible level at which a taxable benefit-in-kind will trigger.

Tax Evasion - HMRC launch new initiative relating to gains on sales of real property (real estate)

HMRC have announced a new disclosure facility for individuals who have sold second homes, holiday homes or inherited or gifted property, and who have previously failed to report these sales as chargeable disposals and paid the capital gains tax due.   Data from the last census has been used to establish that there are over 2.3 million individuals with real property that is not regarded as their main residence and who, therefore, potentially should be reporting disposals realising gains.

Consultation on the introduction of Micro-entity provisions in the UK

The Department for Business, Innovation and Skills issued a consultation document on the introduction of Micro-entity provisions in the UK with responses due by 22 March 2013.

Micro-entities are very small companies, LLPs and qualifying partnerships, defined in the EU’s Micro-entities Directive as not exceeding two out of three of the following limits:

The Taxman’s net is closing……

The Isle of Man, known throughout the world for its favourable tax regime and for its famous TT mountain course, is about to become the focus for the latest HMRC initiative to counter offshore tax evasion.   The British Government has concluded an Agreement with the Manx Government based on the recent US/UK FATCA Agreement which allows information on bank accounts etc to be shared.

Operating from 6 April 2013, HMRC have launched an IOM Disclosure Facility to encourage investors with IOM accounts to come clean and report the income.  Less generous than the previous Liechtenstein and Swiss Disclosure Facilities, it offers those who have unreported income the chance to make a declaration and such income would then be subject to UK tax and a 10% penalty charge (based on the tax due) for sources up to 2009 and a 20% penalty charge for later years.  Those who do not make a voluntary declaration will face significantly higher penalties and possible prosecution.

The IOM Disclosure Facility will be available until  September 2016 and will cover income arising from April 1999 but is only available to those who are not already under investigation by HMRC.

If you wish to discuss the IOM Disclosure Facility and what it may mean for you, please contact Paulette Peterson.

Meet our new associates in India

Hot on the heels of the Prime Minister's visit to India we have just agreed to work in partnership with Habibullah & Co who have 7 offices in India and international associates throughout Asia.

We are pleased to welcome Vivek and his team to our network and hope we can provide international tax and accountancy services to clients wishing to do business in India or UK.
Details here