HMRC updates guidance on loan charge settlement terms

HMRC’s Disguised remuneration: guidance following the outcome of the independent loan charge review has been updated to reflect the changes made in FA 2020. It also contains information about voluntary restitution refunds.

In addition new guidance aimed at advisers helping clients settling liabilities not subject to the loan charge has been published. Although it does not relate to loans which are subject to the loan charge HMRC confirms: ‘Further guidance will be published in autumn 2020 for liabilities in relation to loans that are subject to the loan charge.’ 

The department has also confirmed that clients who provided HMRC with all the required information by 5 April 2019 can still settle their tax affairs under the November 2017 terms. The deadline for finalising these settlements is 30 September 2020. However the November 2017 guidance on disguised remuneration settlement terms...