Monthly Tax Update

Objectives

To update delegates on recent and proposed changes in taxation that are relevant to their clients.

Key Topics

1. SPRING BUDGET 2024 OVERVIEW

1.1 Personal Tax

1.1.1 Income Tax charge & rate

1.1.2 Starting Rate for Savings Limit

1.1.3 Collective money purchase (CMP) winding up

1.1.4 Changes to the Capital Gains Tax rate on UK residential property disposals

1.1.5 High Income Child Benefit Charge threshold

1.1.6 IHT Agricultural property relief and woodlands relief restricted to UK land

1.2 Corporate Tax

1.2.1 Corporation Tax rates

1.2.2 Additional support for independent films

1.2.3 Permanent extension for higher rates of TTR, OTR, MAGTR

1.3 Stamp Duty Land Tax

1.3.1 SDLT Multiple Dwellings Relief (MDR)

1.3.2 SDLT — Acquisitions by Registered Social Landlords and Public Bodies

1.3.3 SDLT– First-time Buyers’ Relief: Leases and Nominees

1.4 Other Levies and Duty Changes

1.4.1 Energy Profits Levy – Energy Security Investment Mechanism

1.4.2 Economic Crime Levy

1.5 Anti-Avoidance

1.5 1 Changes to Transfer of Assets Abroad Provisions

1.6 VAT

1.6.1 Bringing Carbon Credits trades into scope of Terminal Markets Order (TMO)

1.6.2 DIY Housebuilders Scheme: Power to request evidence

1.7 Tax Administration and Other Measures

1.7.1 Penalty Reform — VAT Credit Amendment

1.8 Measures in Spring Budget 2024 but not in Spring Finance Bill 2024

1.8.1 A reduction in the main rates of Primary Class 1 and Class 4 NICs

1.8.2 Class 2 National Insurance contributions — Commitment to Consult

1.8.3 Replacing Non-UK Domicile tax rules with a residence-based regime

1.8.4 UK Individual Savings Account (ISA)

1.8.5 ISAs and Fractional Share Contracts

1.8.6 Amending to Gift Aid legislation

1.8.7 Abolition of the Furnished Holiday Lettings (FHL) tax regime

1.8.8 Tax on environmental land management and ecosystem service markets

1.8.9 Technical consultation on extending full expensing to leased assets

1.8.10 Additional tax relief for expenditure on visual effects

1.8.11 Energy Profits Levy — One Year Extension

1.8.12 Freeport tax reliefs sunset date extension

1.8.13 Amendments to Common Reporting Standard (CRS2)

1.8.14 Crypto-Asset Reporting Framework (CARF)

1.8.15 Easing the payment of Inheritance Tax before probate or confirmation

1.8.16 Guidance on deductibility of training

1.8.17 Vaping Products Duty

1.8.18 Alcohol Duty Uprating

1.8.19 Closure of the Alcohol Duty Stamps Scheme

1.8.20 VAT Registration Threshold: increase to £90,000

1.8.21 Landfill Tax Rates for 2025 to 2026

1.8.22 Landfill Communities Fund 2024 to 2025

1.8.23 Air Passenger Duty rates (APD) 2025-2026

1.8.24 Fuel Duty main rates

1.8.25 Road Fuel Gases Rates

1.8.26 VAT Treatment of Private Hire Vehicles

1.8.27 Raising standards in the tax advice market: Regulatory Framework

1.8.28 Tackling non-compliance in the umbrella company market

2. FINANCE ACT 2024 GETS ROYAL ASSENT

3. MTD FOR INCOME TAX – DIGITAL REQUIREMENTS REGULATIONS

3.1 HMRC MTD ITSA Update Notice – 22 February 2022

1. A relevant person within charge to income tax under Part 2 of ITTOIA 2005

2. A relevant person with property income chargeable to Part 3 of ITTOIA 2005

3. Turnover below the VAT registration threshold

4. Retail sales

4. RECENT TAX CASES AND OTHER RECENT DEVELOPMENTS

4.1 Camping Pods were Plant and Machinery

4.2 HMRC “Nudge” Letters – Check your AIA claim

4.3 New Forms for Marriage Allowance and Job Expenses

4.4 Changes to the form R40

4.5 2024/25 Annual Tax on Enveloped Dwellings (ATED) returns

4.6 Sub-contracted R&D under the new “Merged” R&D Regime

4.6.1 Existing R&D rules

4.6.2 Calculation of qualifying R&D expenditure under existing rules

4.6.3 Finance Act 2024 - Merged R&D rules

4.7 Double Cab Pick-Up Handbreak Turn

4.7.1 EIM23151 - Car benefit: double-cab pickups 1 July 2024 onwards

4.7.2 CA23511 - Plant and Machinery Allowances (PMA): double cab pick-ups

4.7.3 Example - Showing Difference In Tax Treatment From 1 July 2024

4.8 Termination payments — HMRC Clearance

4.9 Advisory Fuel Rate for Company Cars

Who should attend?

Accountants in general practice who advise on tax planning and compliance.