Member Since: 1st Dec 2012
20th Oct 2016
Apparently the whole idea of Making Tax Difficult came from some Intern working at the Treasury and used this for his/her thesis - George Osbourne thought it was a good idea - say no more!
No. HMRC sold most of their premises to an offshore company in 2002 and leased them back on cheap 20 year leases. They don't now have the money to renew the leases as the rents will go up in circa 2020. Hence, shut all the tax offices and get the plebs to do the work.
11th May 2016
Sorry to be pedantic but I think the term you mean to use where the tax payer seeks to avoid VAT registration when they temporarily exceed the registration threshold is a VAT exception (not a VAT exemption).
A VAT exemption is where the taxpayer can ask to avoid VAT registration because their supplies are all or mainly zero rated (as detailed in note 17 in the notes to the VAT 1 form).
I recently had a case when a client had retrospectively exceeded the VAT threshold for a period of six months (don't ask - you know what they are like) and I did not complete a VAT 1 but wrote to HMRC instead giving the rolling annual turnover totals for the period affected to date and asked for the exception to be granted on the basis that the turnover had dropped below the deregistration threshold during the next six months.
I also stated that there would likely be no loss to the Treasury as my clients's accounts would be adjusted for the VAT resulting in a lower taxable profit plus the additional VAT claims possible due to the ability to go back 4 years to claim VAT on capital equipment and 6 months on services.
As ever, HMRC sent me the usual official questionnaire asking for 24 months worth of turnover figures spanning the period involved and details of any large one off contracts to show that exceeding the threshold was a one off blip and unlikely to happen again etc. etc.
I did so and the exception was granted.
28th Apr 2015
"Grant Thornton accountant
"Grant Thornton accountant Tom Jones has set the world record for fastest runner to complete a marathon while dressed as a guitar."
It's not unusual.