.png)
.png)
HMRC have introduced a system of online alerts as part of their current attempts to counter tax avoidance.
The Spotlights service on the department's website will identify examples of avoidance schemes that the Revenue has reason to believe are ineffective, and that they would challenge when encountered.
The first highlighted scheme following the launch of the alerts related to arrangements to claim tax relief for goodwill under the corporate intangible fixed asset regime where a company has acquired a business that was carried on by a related party before 1 April 2002.
HMRC say that goodwill is excluded in these circumstances, so no relief is available. They are challenging any such claims with a view to litigation and announced legislation, which applies from 22 April 2009, in the Budget to confirm the rules.
The next highlighted scheme concerned VAT artificial leasing. The Revenue says it is aware of schemes where a new pleasure craft is acquired that purportedly has VAT-paid status, while, in reality, little or no VAT is paid. The user provides the funds, directly or indirectly, that are used to purchase the asset.
Another avoidance scheme related to pensions. Members of a registered pension scheme are allowed to remove funds from the scheme tax-free by creating a funding surplus through the surrender of rights by a member.
HMRC say that the consequential payment will be regarded as an unauthorised payment in respect of the member, and will attract tax charges on the member on the amount paid by the scheme administrator.
Finally, with regard to contrived employment liabilities and losses, the Revenue announced earlier this year that legislation will be included in the Finance Bill to close down artificial personal tax avoidance schemes, with effect from 12 January 2009.
These schemes use tax reliefs available for employment-related liabilities and losses by way of entering into employment arrangements where such liabilities or losses are triggered by deliberate acts or omissions.
