Welcome to the May edition of the Proskauer UK Tax Round Up. This month we saw Advocate Generals’ opinions in two European Court VAT cases with UK implications and welcome European Commission State Aid approval for EMI option schemes which had expired.
UK Tax
UK Tax Round Up: June 2018
By Catherine Sear, Robert E. Gaut & Stephen Pevsner on
Welcome to the June edition of the Proskauer UK Tax Round Up. The last month has been relatively quiet in terms of new announcements and developments. We expect more activity over the next few weeks as the draft Finance (No.3) Bill will be published on 6 July 2018.
UK Tax Round Up: April 2018
By Stephen Pevsner on
Welcome to the April edition of the Proskauer UK Tax Round Up. This month saw changes to the taxation of termination payments and the UK’s adoption of the OECD Multilateral Instrument into its double tax treaties coming a step closer.
UK Tax Round Up: March 2018
By Catherine Sear, Robert E. Gaut & Stephen Pevsner on
Welcome to the March edition of the Proskauer UK Tax Round Up. As promised, the Spring Statement from the Chancellor focused on the economy and public finances without any major tax announcements. However, a few interesting consultation and position papers were published. We have summarised these below along with a…
UK Tax Round Up: February 2018
By Catherine Sear, Robert E. Gaut & Stephen Pevsner on
Welcome to the February edition of the Proskauer UK Tax Round Up. Although there have been no major developments since our last issue there have been several interesting cases published.
UK Tax Round Up: January 2018
By Catherine Sear, Robert E. Gaut & Stephen Pevsner on
Welcome to the January 2018 edition of the Proskauer UK Tax Round Up. This month has been fairly quiet from a tax perspective, which provides a welcome respite from the busy end to 2017. Please view this month’s issue of the UK Tax Round Up.
Major Changes Proposed to UK Tax Regime for Non-resident Investors in UK Commercial Property
By Robert E. Gaut & Stephen Pevsner on
The UK Government has announced in today’s Budget (22 November) that it is launching a consultation on extending the scope of UK tax on real estate.
Currently, non-UK residents who are investors in UK land and buildings are outside the scope of UK tax on gains on commercial property. They…
Zero Dividend Shares are Ordinary Share Capital
By Catherine Sear, Robert E. Gaut & Stephen Pevsner on
The Upper Tribunal (Tax and Chancery Chamber), the UK’s second level tax appeal court, have just published their judgement in the McQuillan case, which considered whether shares with no right to dividends or any other profits are or are not “ordinary share capital” (OSC) for UK tax purposes. There are a number of UK tax rules that depend on how much OSC is held, and OSC is defined as all share capital except for any share capital that carry a right to a dividend at a fixed rate and no other right to share in the company’s profits. This decision concluded that such shares are OSC.
Failure to Prevent the Facilitation of Tax Evasion: New United Kingdom Corporate Criminal Offence
By Catherine Sear, Robert E. Gaut & Stephen Pevsner on
Background
As mentioned in our July 2017 edition of UK Tax Round Up, the UK has enacted a new corporate criminal offence of failing to prevent the facilitation of tax evasion. The law comes into effect on 30th September 2017, and businesses should ensure that they have considered its impact before then. A risk assessment could be required to be carried out before 30th September, and applicable policies and prevention measures may need to be considered.
United Kingdom Makes Significant Changes to the Tax on Carried Interest for Investment Management Executives
By Robert E. Gaut on
With effect from 8th July, 2015, UK resident investment management executives will pay capital gains tax on all their carried interest returns from investment funds (with the rate currently set at 28% for higher and additional rate taxpayers). The overall rate may in many cases be higher, since items of income such as interest and dividends remain liable to income tax. In addition, those who are not domiciled in the UK (“non-doms”) will no longer be able to benefit from the remittance basis of taxation in relation to their carried interest returns to the extent that they perform the relevant investment management services inside the UK. Further details are set out in our client memorandum of 16th July, 2015 (UK Summer Budget 2015).