UK: Finance Bill 2016 “draft clauses”; descriptions of tax proposals

UK: Finance Bill 2016 “draft clauses”; tax proposals

The UK government on 9 December 2015 published for consultation, “draft clauses” for the forthcoming Finance Bill 2016. In general, there were no unexpected measures, but draft legislative language on certain key measures is still pending.

Related content

Among the provisions in the draft clause are measures that would:

  • Make changes to the taxation of savings
  • Affect employment taxes
  • Affect the taxation of “carried interest” of investment managers
  • Provide for new “hybrid rules”—a follow up to the OECD’s base erosion and profit shifting (BEPS) project—and prevent a tax deduction in the UK for a cross-border payment when that payment is not subject to the relevant foreign tax
  • Restrict the available of the “patent box” regime and link its benefit to research and development incurred by the relevant company 
  • Affect the stamp duty land tax (SDLT) relief for certain transactions 
  • Revise the rules for loan relationship and derivative contract rules

 

Read a December 2015 report [PDF 2.7 MB] prepared by the KPMG member firm in the UK: Finance Bill 2016 Draft Clauses 

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Request for proposal

 

Submit

KPMG's new digital platform

KPMG International has created a state of the art digital platform that enhances your experience, optimized to discover new and related content.