UK tax update June 2023

28 September 2023

In this article for the June edition of French estate planning journal Ingénierie Patrimoniale, Edward Reed and George Mitkov look at recent developments in the UK.

  • Double tax treaties: The First-Tier Tribunal recently confirmed (in the case of Sikder v HMRC) that, where a double tax treaty is silent on time limits for a claim, the normal rules for assessments under domestic law apply.
  • Careless behaviour: In Danapal v HMRC, the Upper Tribunal issued a reminder that it is not only the taxpayer’s behaviour that is relevant when determining whether they have acted carelessly or deliberately, but also the behaviour of their adviser.
  • Artificial tax planning: A recent case heard by the First-Tier Tribunal (Pride v HMRC) and a ruling of the General Anti-Abuse Rule Advisory Panel both highlighted the danger of tax planning that borders on the artificial.
  • HMRC’s powers: A recent consultation on HMRC’s information-gathering powers contained a nod to the extensive powers that many of its foreign counterparts enjoy.
  • Policy announcements: Ahead of next year’s general election, the Labour Party has come out in favour of higher SDLT on foreign buyers of UK property.

Read the full article