Tax News

Mazars tax news covers everything tax related in the UK from, VAT to the latest HMRC rulings.

Find monthly updates on taxation in the UK, or search through the archive of our news. For the most up to date tax news and opinions on taxation in the UK, follow our Let's Talk Tax blog:

Let's Talk Tax

Draft Finance Bill - ‘Optional Remuneration’ (salary sacrifice) update

For a while now, the Government has been concerned with what they see as an inequality between those using salary sacrifice to receive a benefit and those who do not. They also feel that there are a great number of employees unable to benefit from such arrangements as they are too close to the National Minimum or Living Wage. They are also concerned with loss of tax revenue and employer’s National Insurance Contributions (NI). From April 2017, new rules will apply when salary sacrificing.

Autumn Statement - Chancellor misses opportunity to restore business confidence

With his Autumn Statement today, the Chancellor missed an opportunity to encourage investment in the UK. Comparisons to German productivity sadly missed the point at issue around how businesses grow, develop and incentivise business owners and employees alike. The UK may still be open for business and is still highly attractive to inbound investment due to low corporation tax rates and “holding company” incentives but, unless your business invests in housing, transport or digital technology, then it is unlikely the Autumn Statement will get you too excited.

Brexit – The tax implications

The result of the recent Brexit referendum, in which the UK decided to leave the EU, potentially has very significant economic implications for the country, in particular the UK tax system. However, this is only the start, as the UK will not actually leave the EU for at least another two years, so whilst there is now a period of uncertainty for business, there is also time for the UK to start taking necessary action.

Tax deductibility of corporate interest expense

HMRC issued a further consultation document on 12 May 2016 concerning proposals to limit tax relief for corporate interest expense. This is a major issue for larger companies and groups which have interest and related financing expenses in excess of the £2 million de minimis per year.