HMRC's property tax campaign: The lowdown
Repeated queries in AccountingWEB's Any Answers section indicates that something is stirring up interest in property tax issues. Jennifer Adams notes the formation of a new HMRC property sales campaign and discusses the implications for advisers.
The backlog of 200,000 tax cases waiting to go to tribunal would take 38 years to clear, which is something the media frequently misses while engrossed in 'tax dodge' headlines, Bearing in mind the likely delays and costs, you think HMRC has better things to do and more certain cases to tackle than those focusing on principal private residence (PPR) relief for capital gains tax (CGT) - especially since its supposed to be one of the more straightforward, well known and well used tax reliefs.
Over the past three years, more than a dozen cases been heard and there has been a noticeable increase in questions being asked on Any Answers on property tax and PPR. Could this be a sign that HMRC’s Designated Compliance Unit for property has targeted PPR as part of its tax evasion policy and is not letting go?
In response, AccountingWEB is launching a campaign of its own focusing on property tax matters over the next few months. This first article looks at HMRC's latest property tax evasion campaign and at how HMRC chooses cases to investigate.