A round up of other news this week.
HMRC have announced the start of public beta testing for the Making Tax Digital (MTD) Income Tax service. Initially they are looking for sole traders with income from one business to join the pilot and this will then be expanded to those with Income from Property. To support the income tax pilot HMRC have also published details of MTD compatible software that is now available.
The First-tier Tribunal (FTT) has ruled in favour of the taxpayer in a recent case, finding that loyalty bonus payments made from a platform service provider to investors were not ‘annual payments’ and therefore the taxpayer did not need to deduct and account for income tax on them. An article looking at the detail of this case will follow in next week’s Tax Matters Digest.
HMRC and HM Treasury have published a tax consultation tracker, which sets out details of the Government’s ongoing and closed tax consultations, including how to respond and when the changes are likely to be legislated.
The OECD has released the third round of peer reviews on implementation of the BEPS minimum standards on improving tax dispute resolution mechanisms, covering the Czech Republic, Denmark, Finland, Korea, Norway, Poland, Singapore and Spain. Input on the fifth round, covering Estonia, Greece, Hungary, Iceland, Romania, Slovak Republic, Slovenia and Turkey, has also been requested.
The OECD has issued new model disclosure rules that require lawyers, accountants, financial advisors, banks and other service providers to inform tax authorities of any schemes they put in place for their clients to avoid reporting under the OECD/G20 Common Reporting Standard (CRS) or prevent the identification of the beneficial owners of entities or trusts.
Yael Selfin, KPMG’s Chief Economist commented on the Spring Statement and how the outcomes for public finances were more positive than the Office for Budget Responsibility had envisaged, following a strong momentum for the UK economy in the second half of last year.
Commenting on the Spring Statement, Bernard Brown, Vice Chair at KPMG UK, says more needs to be done to attract inward investment for the UK digital and tech sector.