Category Archives: Business

Key Guides January 2019

Key Guides January 2019


Updated Key Guides now available

We are delighted to make available to you our updated and freshly designed Key Guides.  There are eleven updated Key Guides publications, covering a wide range of topics that we hope you will find interesting.

Each guide offers you an essential introduction to a key topic of financial planning, covering the latest developments announced in the 2018 Budget, and coming in to effect in April with the new tax year.

With key headline announcements coming into effect in April, such as the personal allowance increasing ahead of schedule, it is just as important as ever to make sure you are getting the latest advice. With the new tax year bringing deadlines for key allowances, you should make sure you’re making the most of the opportunities available to you.

Our updated Key Guides include: –

  • The 2018 Budget: With changes announced to the personal allowance, income tax thresholds, capital gains tax, property transaction taxes and more, our full set of guides covers the latest tax situation.
  • Updated planning points: Our handy pop-out tips have been updated across the range, helping you to ask the right questions about your financial planning.

The Key Guides are designed to give an insight into each topic covered and highlight some of the more important issues.  If you need any further information on any of the topics covered, contact Paul Southward or your usual KSK contact.

The download to each of the updated Key Guides can be found here: –


Key Guide – Investing Tax Efficiently


Contact: Paul Southward direct for the latest news and updates on preparing your business for Making Tax Digital


Key Guide – Pension Tax Planning


Key Guide – Fringe Benefits


Key Guide – Starting and Selling a Business


Key Guide – Strategies for a High Tax Environment


Key Guide – Tax Allowances for Business Investment


Key Guide – Accessing your Company Profits


Key Guide – Taxation of Property


Key Guide – Personal Service Companies


KEY Guide – Estate Planning

If you have any difficulties accessing the Key Guides or have any queries, contact Paul Southward.

Paul Southward

Paul Southward

News Roundup Saturday 25th August 2018

News Roundup Saturday 25th August 2018



“Grossly unfair” HMRC lifts late payment interest rate

HMRC has raised the rate it charges people and businesses for late tax payments by 0.35 percentage points to 3.25%. The move follows the Bank of England’s latest quarter-point rate rise to 0.75%. The repayment interest rate – the rate HMRC levies on top of sums it owes to taxpayers – has remained at 0.5% since 2009. Tom Selby, a senior analyst at investment platform AJ Bell, said: “It seems grossly unfair for HMRC to increase the late payment rate for those who owe it money without doing the same thing when it owes other people money”.

The Times

HMRC begins rollout of new customs software to importers

HMRC has launched the rollout of the Customs Declaration Service, a system in development since 2013 and expanded since the EU referendum to deal with the expected increase in declarations after Brexit. The first software release has been made available to a selected group of importers, who will start making certain types of supplementary declarations on the new system from this week, in the initial step of a three-phase rollout lasting until early next year.


Corbyn will tax tech firms to subsidise the BBC

Jeremy Corbyn is set to propose a new tax on tech firms such as Facebook, Google and Netflix to subsidise the BBC’s income and to enable it “to compete far more effectively with the private multinational digital giants”. The tax would also support a new public interest journalism fund. Investigative websites that could demonstrate they “take on the powerful” would be exempt from taxes. The corporation would also be forced to reveal the social class of all of its contributors.

Financial Times, Page: 2 The Guardian, Page: 1, 4 The Daily Telegraph The Sun, Page: 8 The Times, Page: 12 Daily Mail, Page: 4

Labour pays no tax on £56m income

The Labour party raised a record income of nearly £56m in 2017, figures show, but paid zero corporation tax despite a £1.4m surplus in the bank. A spokesman said: “The party made no taxable profits; therefore, no corporation tax was due. We pay all tax that is due and always will.” But Tory MP Chris Philp said: “This is sickening hypocrisy from the Labour Party.” The Tories raised £45.9m and paid tax, the Mail says.

The Sun, Page: 2 Daily Mail, Page: 4

Britain needs mould-breaking Budget

The Telegraph’s Allister Heath says Philip Hammond should use his Autumn Budget to slash corporation tax from 19% to 12.5%, thereby “sending a resounding message to the world that Britain is back.” He also calls on the chancellor to halve stamp duty immediately and cut capital gains tax on all assets to 18%. “Brexit Britain is crying out for an emergency, mould-breaking Budget,” he concludes. Elsewhere, the Sun’s leader also argues that the UK’s corporation tax should be as low as Ireland’s and that stamp duty must be slashed to get the housing market moving.

The Daily Telegraph The Sun, Page: 10

ACCA condemns HMRC interest rate change

The ACCA has said it is “simply unfair” that people owing tax have seen a rise in the interest they pay, while those owed a refund will see no change. It comes after HMRC raised the rate it charges people and businesses for late tax payments by 0.35 percentage points to 3.25%, while the repayment interest rate has remained at 0.5%. Chas Roy-Chowdury, head of taxation at ACCA, said that there should be a level playing field.

BBC News

Tax overhaul could hit oil and gas firms

Euan Smith in the Scotsman says the UK government’s plans to introduce tougher tax regulation to the private sector which would mirror that in the public sector will have a negative impact on oil and gas firms. He suggests that if contractors are to be treated as “employees” as far as tax and NI is concerned, they may take the view they are better off being full-time employees on payroll, enjoying the benefits associated with employment status.

The Scotsman, Page: 35

Amazon tax ‘will reduce productivity’

Brian Monteith, director at Global Britain and a former member of the Scottish Parliament, brushes off Chancellor Philip Hammond’s proposals for both an “Amazon tax” and a levy on vaping. An Amazon tax will not raise revenues for the government, he argues, it will reduce UK productivity and customers and online retailers will seek ways to avoid the tax.

City AM


Businesses cautiously welcome no-deal guidance

Adam Marshall, director general of the British Chambers of Commerce, has welcomed the Government’s decision to publish its no-deal strategy documents, although he said preparation should have happened “far earlier”. Allie Renison, Head of Europe and Trade Policy for the Institute of Directors, said the government needs to ensure the no-deal information “trickles down to all businesses in the supply chain, particularly to smaller firms which are typically less resourced, and are less likely to have made preparations so far”. Federation of Small Businesses chair Mike Cherry agreed that smaller firms are most vulnerable, saying: “If you are a small business that trades with the EU or employs someone from the EU, or if you a self-employed EU citizen working in the UK, you need easily accessible information that will explain how a sudden Brexit will impact you and your business while providing practical steps to soften this impact.”

The Independent, Page: 6

North of England ‘braver’ about Brexit than London civil service

Northern Powerhouse minister Jake Berry, a converted Leaver, has said businesses in the north “see a real opportunity in Brexit” and are braver than many politicians and civil servants.

Financial Times Yorkshire Post, Page: 4


Debenhams appoints new CFO

Debenhams has revealed that it has appointed Rachel Osborne as its new CFO, effective September 17th. Ms Osborne, formerly Domino’s Pizza finance chief and a John Lewis executive, succeeds Matt Smith, who is leaving at the end of August to join Selfridges. Osborne will join on a salary of £439,000 a year, plus the potential to bag up to £878,000 in bonuses.

Financial Times, Page: 17 City AM The Times, Page: 41 The Daily Telegraph, Page: 31 The Sun, Page: 47 The Independent, Page: 63 Daily Express, Page: 46 Daily Mirror, Page: 49

Union calls for Carillion enquiry

The Unite union has called for a public inquiry into the collapse of Carillion. Unite said the probe should cover the Government’s approach to the awarding of contracts to the firm, despite there being fears over its stability. Assistant general secretary Gail Cartmail said: “There is a growing concern that the Government’s inaction could result in further collapses of outsourcing giants, resulting yet again in workers losing their jobs and the taxpayer picking up the tab.”

The Times, Page: 46 Daily Mirror, Page: 57

Rosenblatt CFO resigns

City law firm Rosenblatt, which listed in May for £42m, is to lose finance director Patrick Firebrace just eight months after he joined.

City AM, Page: 6 The Times, Page: 45



Two out of five self-employed have no pension

A study by Prudential has found that 43% of Britain’s 4.8m self-employed are failing to pay into a private pension. Nearly one in three says they will rely solely on the state pension, while 28% say they will expect their business to provide the income they need.

Daily Express, Page: 23 Daily Mirror, Page: 14


Scotland’s deficit four times higher than rest of UK

Scotland’s fiscal deficit was £13.4bn in the 2017-18 financial year, down £1bn compared with the previous year. However, this represents 7.9% of GDP, compared with the 1.9% recorded for the UK as a whole. The Times points out that this is more than double the limit allowed by the European Union for independent member states. Tax revenue per person was £306 lower in Scotland than the UK average, while total public expenditure was £1,576 higher. Murdo Fraser, the Scottish Conservative party’s finance spokesman, commented: “If Nicola Sturgeon wants to continue her threat of second referendum, she has to come out and explain where she would find £13bn to fill this deficit.”

The Times, Page: 2 The Times Daily Mail, Page: 21 The Guardian, Page: 31 Financial Times, Page: 2 The Scotsman, Page: 1, 7

Axing 1p and 2p coins would not push up inflation

In a blog post, the Bank of England has claimed that scrapping 1p and 2p coins would not push up inflation. Two analysts from the Bank said their research and the “overwhelming weight of literature and experience” suggests that retiring 1p and 2p coins would have “no significant impact on prices”. The analysts also highlighted that price tags ending in 99p now only account for 12% of prices. This means rounding up would be less of an issue if 1p and 2p coins were ditched, they said.

BBC News The Times, Page: 2 Daily Mail

Rise in personal insolvencies predicted

Personal insolvencies in Britain are expected to exceed 100,000 by 2022, according to debt collector Arrow Global. The ONS said the average family spent £900 more than they earned last year – the first time in 30 years households collectively spent more than they had brought in.

The Times, Page: 38

Business fears a Corbyn government almost as much as Brexit

Research by BritainThinks reveals a Corbyn government is perceived by business leaders to be the second biggest threat after Brexit. High taxes and productivity were seen as the next greatest challenges.

Financial Times, Page: 1

Chancellor warns of higher borrowing costs after no-deal

In a letter to the Treasury Committee, published just after the government’s Brexit documents were released, Chancellor Philip Hammond reiterated a warning from his department of a 7.7% hit to GDP under a no-deal Brexit scenario. He claimed that borrowing would also increase by £80bn a year by 2033. The letter is understood to have been published without Downing Street’s clearance, and a spokesperson for No 10 said that the analysis highlighted by the Chancellor was “preliminary and very much a work in progress.”

The Daily Telegraph The Times, Page: 1 The Guardian, Page: 8 The Independent, Page: 62


Katie Price’s full debts revealed

Reality TV star Katie Price reportedly owes almost half a million pounds to the tax office and other creditors and has until October 30th to come up with an individual voluntary agreement to settle her debts.

The Mirror

Aretha died intestate

US website TMZ has reported that Aretha Franklin, who died last week aged 76, had an estate worth $80m, but did not leave a will detailing the distribution of her fortune. Michigan law dictates that, in such an event, an individual’s fortune is to be shared equally among their children – in Ms Franklin’s case, four sons.

The Daily Telegraph

Tax sweetener could tempt Britons to Italy

The Italian government is considering a proposal to lure pensioners to poorer and depopulated areas of southern Italy with the offer of a ten-year tax holiday. The idea would initially apply to Calabria, Sicily and Sardinia, which offer few economic opportunities to their dwindling inhabitants.

The Times, Page: 15

Contact Paul Southward if you have any queries.

Paul Southward

Updated Key Guides published 23rd August 2018

Updated Key Guides published 23rd August 2018


Whilst most of us bask in the hottest summer for over half a century, the government is busy running consultations and trying to prepare for what Brexit will eventually mean. But that is no reason for us not to be busy, whilst we await the announcements of the Budget, and the result of the negotiations.

The latest update for our Key Guides series brings you fully revised guides giving you essential explanations of key topics across business, tax and retirement planning. We understand how confusing it can be to get a clear understanding of how complex rules and reliefs affect you, so our guides will give you everything you need to get started in one place.

Our current update includes new examples, tables, graphics and case studies throughout, to make each topic as accessible and easy to get to grips with as possible. The new range will give you real world examples of complex rules and calculations, including fresh advice on inheritance planning and gifts.

Investing tax-efficiently

  •  New example on timing of CGT gains and losses
  •  Added reference to the OTS review of savings and investment income tax

 Making Tax Digital

  • Updates on latest timetable announcements from HMRC
  • Updated section on MTD pilot schemes
  • Restructured to focus on VAT and preparing for MTD

Pensions tax planning for high earners

  • New clarification and example on tax on pension withdrawals
  • New example on SIPP borrowing for property investment
  • Clarification on income tax relief on contributions in Scotland

Starting and selling a business

  • New tables covering:
  • Business financing options
  • Advantages and disadvantages to limited company structure
  • Payment options on sale of a business
  • Loan notes
  • VAT treatment of going concerns

Strategies for a high-tax environment

  • New example highlighting differing CGT rates between residential property and other assets
  • New graphic on maximum tax-free income allowances
  • Updated OBR forecasts

Working through personal service companies

  • New table summarising tax deadlines for deemed salary under IR35 rules
  • Restructuring of ‘Tax planning and pitfalls’ section
  • Summaries of recent IR35 rulings
  • New section on consultation on IR35 rules in the private sector

Estate planning

  • New example on the application of lifetime gifts and gifts from normal income

The latest Key Guides can be downloaded here:-

Tax Planning for High Earners

Tax Planning for High Earners

Estate Planning

Estate Planning

Making the most of Fringe Benefits

Making the most of Fringe Benefits

Strategies for a High Tax Environment

Strategies for a High Tax Environment

Investing Tax Efficiently

Investing Tax Efficiently

Making Tax Digital

Making Tax Digital

Personal Service Companies

Personal Service Companies

Starting and Selling a Business

Starting and Selling a Business

For more information contact Paul Southward or your usual KSK contact.

Paul Southward

News Roundup Friday 10th August 2018

News Roundup Friday 10th August 2018



Companies should reveal tax to secure Government deals

With Government procurement documents showing that Amazon received more than £11.8m in contracts in the first three months of this year, the Telegraph reports on calls for firms looking to secure public sector deals to be made to reveal the details of their tax arrangements. This comes after Amazon UK services cut its corporation tax bill to just £4.6m in 2017, despite increasing its profits to £79m. Richard Murphy, professor of International Political Economy at City University, said firms should record the tax they pay in the UK as a condition of public procurement. This would ensure public confidence that “the Government is paying for companies that are responsible,” he added. Labour MP Darren Jones of the science and technology committee comments: “Global companies have been able to pay their taxes in low-tax jurisdictions for years, but the rise of ecommerce and online purchases has made this a much bigger proble m.”

The Daily Telegraph

AAT: Rethink needed on rent-a-room rule change

The Association of Accounting Technicians (AAT) has urged ministers to drop plans to change ‘rent-a-room’ rules which allow people to earn up to £7,500 a year tax-free from letting out a spare room. The AAT fears that a new “shared occupancy test” that will only offer tax relief to landlords present at the property during the rental period will add unnecessary complexity to the tax system. Phil Hall, AAT’s head of public affairs and public policy, said the reform would force landlords to complete a self-assessment tax return when they otherwise wouldn’t, and may reduce the availability of accommodation by deterring people from renting out spare rooms.

Simple Landlords

Home Office could see £6m tax rebate

The Home Office could be in line for tax rebate of almost £6m after an Upper Tribunal ruling backed its claim that it has been paying over the odds in business rates for its central London headquarters. The office is believed to have the highest business rates in London, at around £12.5m a year, with Altus Group saying the decision in the dispute with the Valuation Office, part of HMRC, means the Home Office is due back just under £5.8m.

Daily Mirror, Page: 43

IHT insight

The Telegraph carries a guide to inheritance tax after official data revealed that the amount paid broke the £5bn barrier for the first time last year. The paper’s Sam Meadows notes that there are a number of ongoing reviews into the levy, including one by the Office of Tax Simplification, but adds that experts “aren’t holding their breath for any major changes”. “After all, nothing is certain except death and taxes, and death taxes,” he adds.

The Daily Telegraph, Page: 21

Time to incentivise an investment drive, says CBI

Writing in City AM, Annie Gascoyne, the head of economic policy at the CBI, urges the Government to recognise the utility of tax reliefs as levers for investment. “Capital allowances, R&D tax credits, and the patent box all incentivise capital spending in the UK,” she says. But it is not just about lowering taxes, rather “a stable, transparent, and simple tax system” is needed.

City AM, Page: 14


Insolvency Service to interview former Carillion directors

The Insolvency Service is to interview former directors of Carillion as it steps up its investigation into one of the biggest British corporate failures in recent history. The agency said it has now finished transferring 278 public and private sector contracts to new suppliers, and officials are now expected to focus their attention on an investigation into why the company failed. The inquiry will run alongside two parallel investigations into Carillion’s failure, with the Financial Conduct Authority looking into allegations of insider trading, while the Financial Reporting Council is examining the role played by auditor KPMG and former finance directors Zafar Khan and Richard Adam.

The Guardian, Page: 25


UK property market ‘resilient’ in June

The UK’s property market is in a “resilient” mood, according to the latest Mortgage Advice Bureau index. Buyer demand across the country has shown little sign of tailing off despite current political uncertainty, as property prices edged up from £249,862 in May to £251,573 in June and the value of average purchase loans remained broadly unchanged, rising to £175,929 in June from £175,487 in the previous month.

City AM

House of Fraser’s landlords deal removes rescue hurdle

House of Fraser has settled a legal challenge from a group of landlords against its restructuring proposals. Mark Fry of Begbies Traynor, and Charlotte Coates of JLL, the legal advisers to the landlords, said they hoped their challenge “sends a clear message to any other companies considering a CVA, on the importance of transparency and fair treatment for all creditors throughout a CVA process.” Closures of more than half of HoF’s stores will now go ahead putting 6,000 jobs at risk. However, if the retailer cannot secure a backer soon it will go under anyway.

The Daily Telegraph, Business, Page: 27 Financial Times Daily Mail, Page: 76 City AM, Page: 3


Pound hits 11-month low

The pound has hit its lowest level in eleven months, falling below its mid-July low to the weakest point since September 2017. The dip has been partly attributed to comments from international trade secretary, Dr Liam Fox, who warned that a no-deal Brexit was now more likely than not, saying there was a 60:40 chance that the UK would leave the European Union without an agreement. The pound has fallen 2.5% against the dollar over the past month and weakened 1% versus the euro.

The Independent, Page: 51 The Guardian Financial Times

July sees consumer spending increase

Figures from KPMG and the British Retail Consortium show total retail sales were 1.6% up in July compared to a year earlier, with food and drink spending climbing 4.5% year-on-year. A separate survey by Barclaycard showed that consumer spending rose 5% year-on-year in July, capping the strongest three-month period since 2014.

The Times, Page: 32 The Daily Telegraph, Business, Page: 27 Financial Times, Page: 2 I, Page: 34 Daily Star, Page: 4

EU will pay for no-deal Brexit, while Britain’s exports boom

Research by Economists for Free Trade shows Britain will gain more than £600bn by moving to WTO rules after Brexit, while EU countries will lose £500bn. Meanwhile, official figures show Britain’s exports hit a record £616bn last year with goods rising by 13% to £339bn while services increased by 7% to £277bn. The total trade deficit narrowed by £5bn to £25.8bn. Tory MP Anne Main said: “This is really encouraging news and highlights the confidence countries all across the world have in our markets and goods. This is another nail in the Project Fear coffin which should have been dead and buried a long time ago.” Finally, Matt Ridley in the Times backs trading on WTO terms pointing out that “Britain currently exports to more than 100 countries on WTO terms, and has grown those exports three times as fast as exports to the rest of the EU since 1993.”

Daily Express, Page: 1, 4 Daily Mail, Page: 10 The Times, Page: 19

Brexit pessimism eases among UK’s biggest companies

Research by the Institute of Chartered Secretaries and Administrators found that 55% of company secretaries expect Brexit to lead to economic pain, down from 69% a year ago. Additionally, 58% said Brexit would have no impact on their business. However, confidence in the economy had fallen with 55% predicting a decline, double the figure two years ago. A separate reading of business confidence by the ICAEW found business optimism had slid into negative territory in the three months to late July after rising for each of the preceding three quarters. The group blamed global trade wars, uncertainty over Brexit, GDPR and an increased regulatory burden.

The Times, Page: 37 Financial Times, Page: 15 The Guardian, Page: 33 The Times, Page: 34 City AM, Page: 1

Services sector contracts as Brexit uncertainty drags

BDO ’s Output Index recorded a drop of more than two points in services output in July, pushing the survey into negative territory for the first time since early 2010. Manufacturing output in July was down slightly month-on-month, but was still above the long-term growth trend. “Uncertainty about Brexit and the increasing possibility of crashing out of the EU without a transition deal is discouraging businesses from investing, with a resulting drag on productivity,” Peter Hemington, a partner at BDO, said.

The Times, Page: 31 The Independent, Page: 57


Accountant in dock over pensions claim

Accountant Hashmukh Shah has been charged with knowingly or recklessly providing false or misleading information to The Pension Regulator. It is claimed he told a client that staff had been enrolled in a workplace pension scheme when he knew this was not the case.

Daily Mail, Page: 63


UK SMEs positive about growth

Nearly two-thirds of UK SMEs expect to see growth of up to 40% over the next two years, according to research from Wesleyan Bank. The bank’s annual “SME Heroes or Zeros” report found that over 50% have more confidence over their company’s growth prospects than they did last year, while just 11% are concerned about the impact that the UK’s exit from the EU will have on their business. Survey respondents were also asked about how they utilised alternative finance options to help boost business growth: 59% said they used external funding at least once, up from 30% in the 2016 report, while more than 25% now rely on external finance, compared to 20% in 2016.

London School of Business and Finance

Construction firms accused of “utter disregard” for SMEs

The UK’s biggest construction firms continue to treat small business with contempt, business groups say, after figures were released from Build UK showing members are failing to hit agreed time frames for paying invoices. Interserve’s invoices weren’t met within agreed terms in 83% of cases, while Sir Robert McAlpine failed to meet agreed timelines with 70% of its invoices. Simon Hanson, development manager at the FSB said: “The poor payment practices that run rampant through UK supply chains are a national disgrace.”

Chronicle Live

Railway arch firms call for help

The New Economics Foundation has said small businesses based in railway arches that are due to be sold off by Network Rail contribute more than £725m to the economy every year. The Guardians of the Arches, a campaign group supported by the NEF, has called on the Government to intervene to ensure that small business interests are protected. Network Rail has also been accused of trying to inflate the value of the properties by hiking rents.

The Times, Page: 39 City AM, Page: 8 Yorkshire Post, Business, Page: 15

Peer-to-peer lenders fear being stymied

RateSetter CEO Rhydian Lewis says he will fight FCA claims that P2P lending is high risk as the industry faces the threat of unsophisticated retail investors being blocked from the lenders.

Financial Times, Page: 2


Price faces tax hearing

Television personality Katie Price is the subject of a hearing before the Deputy Insolvency and Companies Court Judge in the High Court today, with the hearing understood to relate to tax owed to HMRC.

Daily Mirror, Page: 7

Have more babies or we’ll have to work longer

HSBC economist and demographics expert James Pomeroy says a predicted fall in the UK’s working age population could mean slowed investment and a stagnant economy as businesses see their customer base fall, while Government finances would come under enormous pressure with fewer workers to pay for larger numbers of pensioners. An increase in the birth rate would not solve the problem quickly enough, says Pomeroy, so the only answer is increased migration or raising the retirement age, which is the best solution, but “an excellent way to not get elected”. He concludes: “You have to accept we are all going to have to work longer or get massively more productive, or we’re going to have to have more babies, or be open to migration, or be poorer. That is the alternative.”

The Daily Telegraph

Contact Paul Southward if you have any queries.

Paul Southward

Tax News Bulletin Tuesday 8th May 2018

Tax News Bulletin Tuesday 8th May 2018



Brexit puts brakes on HMRC’s digital revolution

HMRC CEO Jon Thompson has told members of Parliament’s public accounts committee that 39 initiatives would be adversely affected by the Government’s focus on Brexit. Among the projects that will be halted or delayed are online services for tax credits for new claimants, new services for personal tax accounts, and Making Tax Digital for Individuals. Caroline Miskin, tax technical manager at ICAEW, said the delay to MTD for individuals would not affect businesses such as landlords, the self-employed and partnerships: “These groups of people will still need to file their records digitally and update their accounting records to HMRC every three months.” Andrew Hubbard, tax consultant at RSM, said experts were not surprised by the delays, describing the initial plans as “optimistic”.

The Times, Page: 61 Financial Times, Money, Page: 2

Hopes for IHT reform after review launched

Carol Lewis calls for reform of the IHT system in the Times, arguing that it is complex and unfair. The Office of Tax Simplification (OTS) launched a review of inheritance tax last week and George Bull, a senior tax partner at RSM UK, says the outcome may be “simpler administrative arrangements for low-value estates and a recommendation for a single nil-rate band on death at a level that excludes modest estates, without the complexities imposed by the residence nil-rate band and by the transferability of unused allowance.” Families paid £5.2bn in death duties in the 2017-18 tax year, the highest on record, even though only about 4% of estates are subject to inheritance tax.

The Times, Page: 63

Medical professionals lured into avoidance schemes

The Times reports on emails showing how recruitment consultants continue to offer workers on their books to be paid through “umbrella” companies that are being investigated by HMRC. The schemes take payment from employers then pay the worker back in loans that claim to circumvent tax laws. The paper says public-sector employees such as nurses and social workers are being targeted with a loan model operated by Smart Pay, which has led many to receive letters from the Revenue warning them they are using a tax avoidance scheme. Graham Webber, a director of tax at WTT Consulting, says: “HMRC has scored some very minor victories against such schemes,” but in terms of “striking them down in court, almost nothing has happened.”

The Times, Page: 67

Overseas territories question relationship with UK

Britain’s overseas territories are considering declaring independence following the vote in the UK to force the territories to make public the owners of its businesses. British Virgin Islands (BVI) premier Orlando Smith said the islands’ links with the UK were at risk, while the Cayman Islandspremier, Alden McLaughlin, said the legislation amounted to “constitutional overreach and are reminiscent of the worst injustices of a bygone era of colonial despotism.”

The Times, Page: 14

Rise in gaming duties to pay for FOBT crackdown

Whitehall sources have told the Mail that taxes on casinos will rise to pay for a cut to the maximum stake on fixed odds betting terminals (FOBTs) from £100 to £2.

Daily Mail, Page: 10

 Contact Paul Southward if you have any queries.

 Paul Southward