Employees

Implications of a gift of shares and share buy-back

Actors, National Insurance, incorporation and the impact of IR35

Parliament decided not to legislate for the proposed exemption to income tax for trivial benefits in kind.

The decision was made to enable the swift enactment of Finance (No 2) Bill, meaning the exemption will not come into force from 6 April as originally planned.

The measure would have exempted small benefits of up to £50 as long as they were not in recognition of services, part of a contractual obligation, or made in conjunction with a salary sacrifice arrangement.

Poole Leisure Ltd (TC4315)

The OTS’s latest recommendations for employment taxation

Employment experts have accused HMRC of misleading businesses about the operating cost of IR35.

Statistics released by the department yesterday suggest UK firms spend an annual total of £16m on administrating the controversial anti-avoidance measure, which is aimed at ensuring freelancers working through their own limited companies pay income tax and National Insurance at a levels similar to those of regular employees.

Jumbogate Ltd (TC4271)

Would the gift of a house to an employed friend be a taxable benefit in kind?

HMRC have published more details on the information that employment intermediaries will be obliged to provide from next month.

Staffing agencies and similar firms will have to submit an online report to the Revenue every three months, providing details of supply workers for whom they do not operate PAYE on payments.

The first report is for the period 6 April to 5 July, and must reach HMRC by 5 August. A template is included in the official guidance, along with instructions on how to complete the form.

Tower Radio Ltd; Total Property Support Services Ltd v CRC, Upper Tribunal

Tax of non-UK residents who carry out work here but live in Bermuda