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And therein lies the problem of changes enacted on a date prior to legislation. The issues highlighted here, and the potentially drastic outcome for some non-doms could have all been avoided by simply bringing the changes after legislation.
People making wholesale changes to their operations on the basis of MTD would benefit from reading this article several times just to ram it home.
It is also strange that Schedule 6 which contains rules that prevent a double tax charge for certain disguised remuneration events has been retained, but the key driver of the need for those rules - the 20 year retrospective tax charge on alleged but unproven tax avoidance - did not make the cut.
Won't they just have another post-election budget and reintroduce the 'missing' legislation so that they have time to discuss it in parliament?
MTD isn't going away. This article does not "ram" anything "home". Ignoring the changes coming is simply foolish.
Of course be ready, but expecting it all to happen on schedule might be a bit optimistic. Remember all personal Tax Credits claims would definitely be moved over to Universal Credit by 2013? Now there's still no date in sight to have everybody moved over, because HMRC just can't build the systems required to support it.
That's a good reminder about the Universal Credit carry on!
I expect we will hear more around half way through the pilot scheme. They may not bring it all in on time, but there will not be that many taxpayers starting in April 2018 (granted, there will be pockets of 'types' of non-VAT registered taxpayers who are drawn in).
I'd rather they just got on with it now. There's a lot of questions that need answered by HMRC, but we've worked out (in theory) which of our clients will be "in" from April 2018, while updating for 2016/17 turnover throughout the year to bring in any that didn't qualify based on 2015/16 figures. Knowing those individuals, we can start to push them towards sorting out their records/software etc to be ready.
Having a small number starting for April 2018 will allow us to deal with the larger number starting in 2019.
i hope in the post election new budget the new chancellor will realise that housing market is deteriorating (or has started to) post brexit, and that any of George Osborne's policies to curb the 'artificial' growth in the housing market will be reversed. i.e. the additional 3% stamp duty and interest deduction restriction for individual landlords.
(among many other things he unnecessarily introduced!)
I think Hedglen has missed Mr Mischief's point about ''ramming home''.
MTD may not be going away ; it goes without saying that only a complete and utter foolish practitioner would show ignorance to any proposed / imminent tax legislation change.
Conversely ,Mr Mischief emphasises close study of the article and infers that any practitioner taking advance compliant steps from the spin of the initial biased dodgy dossiers { aka 'Consultation Documents' } through the ensuing amateur dumb ''make it up as you go along'' stages , will have created a whole load of costly administration for ......WHAT ? And now having to go back to clients and advise what probably wasn't positive advice in the first place.
As above , MTD may not be going away .But why call it MTD ? Why not QRD [ Quarterly Reporting Obligations ]. Let's not pretend Hammond's inherited MTD mess is supposed to make life easier . We all know the aim of this £1.3 billion investment is an investigative tool to increase the tax yield with more penal consequences.
And who's to say MTD won't go away ? Come 8th June , who knows what changes may surprise us ?
Forget an additional 25000 police force on a salary of £8K . Who / what is going to fund a new wave of different tax hikes ?
Call me overcautious if you like. While in no way ignoring the changes which were proposed, we are aware, from many years of frustrating, bitter and painful experience of such matters, that changes and timetables which were considered by experts to be practically set in stone did not survive the unpredictable changes in political priorities and expediency over the few weeks of an election campaign.
While giving careful consideration to plans as to how my firm, its subcontractors and clients are likely to adapt to new ways of working, we are certainly not going to implement any major changes until we know what the actual framework and timetable will be. The only current certainty is that neither primary legislation nor any statutory regulations and formal HMRC guidance actually exist. We cannot be certain that any new Budget and Finance Bill or draft regulations will be promulgated before Autumn 2017. I for one doubt it.
As I remember, the then PM, a certain Mr Wilson, said that a week is a long time in politics.
I therefore believe that it would be sensible to wait a little longer before jumping in with both feet.
God knows what will happen when we enter Brexit negotiations and get an un-expected 60 Billion Euro bill, (EU are asking for 100 billion, just to make the 60 Billion bill look cheap).
All I am saying - having qualified back in 1990 - is that I have seen many times in various sectors people betting the house on legislation they thought was a "gimme". Only to find that their hoped for changes in the law did not take place and the house went down the Suwanee.