September Tax Update

Churchill Tax Advisers successfully settles on a long standing tax investigation

This was a case referred to us by another firm of accountants. The client had been under tax investigation for a few years. His original accountant was not able to handle the investigation and then he went to see another accountant who made matters more complicated. When the client came to us, HMRC had raised assessments for a six year period together with penalties and interest Read more…

Churchill Tax Advisers helps reduce penalties and determinations for unfiled tax returns of 13 years to nil

This was a disgruntled client who came to us from another firm of accountants following a recommendation. According to HMRC he had not filed his self assessment tax returns for the last 13 years and had received numerous penalties and charges. Read more…

Churchill Tax Advisers provides capital gains and inheritance tax advice to save almost £800k of tax

This was a client who had accumulated some properties and assets over time and wanted to transfer these to his children. His estate was worth almost £2m and the properties were pregnant with substantial gains. We devised a tax planning strategy to reduce the capital gain tax on transfer of the properties to the children to nil. In addition we were able to put together a plan to reduce the potential inheritance tax bill to nil on the basis that the client survived for another seven years.

HMRC’s Let Property Campaign – Targeting undeclared rental income

HMRC have sent out approximately 40,000 letters to landlords who have undeclared rental income. We have been approached by clients who have received these letters and are in the process of preparing a full disclosure to HMRC. The letters give the landlords an opportunity to make a full disclosure for all the years where the rental income was not declared. If the letters have come from HMRC and no prior contact/ disclosure made by the tax payers, the penalties are higher as this will be treated as a prompted disclosure. Read more…

HMRC publishes a new list of deliberate tax defaulters

The list of deliberate tax defaulters is available on http://www.hmrc.gov.uk/defaulters/defaulters-list.pdf

First Tier Tribunal cases

Temple Retail TC 03823

The First Tier Tribunal has decided that HMRC had sufficient evidence to justify the raising of an assessment more than 1 year before it was made and, therefore, that the assessment raised against Temple Retail Limited was out of time and invalid.  Read more…

Our analysis: The case once again proves the importance of considering technical issues like time limits both for HMRC and the taxpayers.