Wow. I hope you have a decent PI policy, or your clients find themselves an accountant who will not have them paying additional tax when it is not necessary.
Your opinion that some folk have dubiously claimed SEISS grants would have you neglect to tell clients of perfectly acceptable tax planning to mitigate their liabilities, in a year where that might be most important to their businesses survival.
I see you've been a member here since 1999 - have you been advising clients all that time? What other unnecessary tax have you inflicted on them because you feel it is "totally inappropriate" for them to take steps to mitigate it I wonder?
A couple of points I'm unclear about form the article.
Number 1:
"Relief is time apportioned for accounting periods that straddle 1 April 2021 and 31 March 2023."
Is this correct? I had a read over the draft finance bill and it seems to have included a time apportioned amount for periods straddling 31 March 2023, but nothing for periods straddling 1 April 2021.
I've maybe missed it. Can you point me towards it please?
And if I'm correct about how it is worded, are we going to see a lot of 31 March 2023 year ends to avoid a reduced rate for periods straddling this date?
Number 2:
"because the super deduction and 50% special rate measures are FYAs, they are not pooled. "
Again, I'm not sure if this is correct. Are we supposed to have separate pools for FYA assets? I've always added them to either the main or special rate pool and claimed FYA from that. The HMRC guidance doesn't seems to suggest that a separate pool is required for FYA expenditure. See "If you originally claimed 100% of the item" on the following link: https://www.gov.uk/capital-allowances-sell-asset
Is this pooling requirement new for the super deduction? Or maybe I've missed something with FYA assets (oops!)
Wouldn’t it be great if we lived in a world where there was no need to see articles like this. No need for quotas based on sex, race, religion or other identifiable characteristic. Where everyone is satisfied that if a person has a role, it is because they are qualified and competent for the role, and not for any other reason.
I was expecting capital taxes to take a bit of a kicking if I'm honest, so I'm surprised that the only real hit is with ER. Was half expecting some IHT reliefs (BPR/APR) to disappear or be reduced in scope.
My answers
You're correct of course. But given what they have done is perfectly acceptable under the legislation, it would be a completely pointless enquiry.
Behave yourself. There is nothing silly about the article at all and is something we should all be thinking about this year in particular.
If you struggle to deal with accounting periods not matching the tax year then I suggest you work on that.
Good article, and something we should all be thinking about.
Wow. I hope you have a decent PI policy, or your clients find themselves an accountant who will not have them paying additional tax when it is not necessary.
Your opinion that some folk have dubiously claimed SEISS grants would have you neglect to tell clients of perfectly acceptable tax planning to mitigate their liabilities, in a year where that might be most important to their businesses survival.
I see you've been a member here since 1999 - have you been advising clients all that time? What other unnecessary tax have you inflicted on them because you feel it is "totally inappropriate" for them to take steps to mitigate it I wonder?
If you have a read over ITTOIA 2005 s217, a commercial reason is only required if there has been a change of accounting date in the last 5 years.
If there has not been, then you will meet Condition A of s217 and therefore not require a commercial reason.
A couple of points I'm unclear about form the article.
Number 1:
"Relief is time apportioned for accounting periods that straddle 1 April 2021 and 31 March 2023."
Is this correct? I had a read over the draft finance bill and it seems to have included a time apportioned amount for periods straddling 31 March 2023, but nothing for periods straddling 1 April 2021.
I've maybe missed it. Can you point me towards it please?
And if I'm correct about how it is worded, are we going to see a lot of 31 March 2023 year ends to avoid a reduced rate for periods straddling this date?
Number 2:
"because the super deduction and 50% special rate measures are FYAs, they are not pooled. "
Again, I'm not sure if this is correct. Are we supposed to have separate pools for FYA assets? I've always added them to either the main or special rate pool and claimed FYA from that. The HMRC guidance doesn't seems to suggest that a separate pool is required for FYA expenditure. See "If you originally claimed 100% of the item" on the following link: https://www.gov.uk/capital-allowances-sell-asset
Is this pooling requirement new for the super deduction? Or maybe I've missed something with FYA assets (oops!)
August 13th for International Wolf Day ;)
Wouldn’t it be great if we lived in a world where there was no need to see articles like this. No need for quotas based on sex, race, religion or other identifiable characteristic. Where everyone is satisfied that if a person has a role, it is because they are qualified and competent for the role, and not for any other reason.
“I have a dream, I hope will come true.”
'Not being racist' is not enough.
Yes it is. I am not responsible for the behaviour of other people, in the same way that they are not responsible for mine.
I was expecting capital taxes to take a bit of a kicking if I'm honest, so I'm surprised that the only real hit is with ER. Was half expecting some IHT reliefs (BPR/APR) to disappear or be reduced in scope.