HMRC v HFFX LLP: Supreme Court Upholds Income Tax Treatment of Trader Profit Shares
The Supreme Court has handed HMRC a significant victory in a long-running dispute over the taxation of trader profit-sharing arrangements, ruling that individuals cannot avoid income tax on profits simply because those profits first passed through a corporate structure. The case involved billionaire trader Alex Gerko and a group of former colleagues who worked at […]
Supreme Court Hands Down New Tax Avoidance Judgments
The UK Supreme Court has handed down judgments in two closely watched tax cases, Atkins v HMRC and HMRC v HFFX LLP, providing fresh guidance on how the courts assess tax avoidance arrangements and HMRC’s powers to challenge them. While the cases involve different factual circumstances, both formed part of a broader series of disputes […]
Reform UK Proposes New Foreign Worker Levy for Businesses
Reform UK has announced plans to introduce a new tax regime that could increase employment costs for businesses hiring foreign workers. Under proposals outlined by Treasury spokesperson Robert Jenrick, employers would pay lower National Insurance contributions for British workers while continuing to pay higher rates for non-British workers. The party has also proposed a separate […]
Small Companies Face New Profit and Loss Filing Requirement from 2028
Small and micro companies will be required to file profit and loss accounts with Companies House from 2028 under government reforms designed to improve corporate transparency and strengthen the fight against economic crime. The change forms part of the wider Economic Crime and Corporate Transparency Act reforms, which are transforming the role of Companies House […]
HMRC Expands AI Use to Strengthen Tax Compliance Activity
HMRC is accelerating its digital transformation programme through a series of major technology investments designed to improve customer services, automate routine processes and enhance tax compliance activity. The developments form part of HMRC’s wider strategy to modernise tax administration and make greater use of artificial intelligence, data analytics and digital tools across its operations. […]
Temporary 5% VAT Rate for Children’s Meals and Attractions
Families could benefit from lower costs this summer following the government’s announcement of a temporary reduction in VAT from 20% to 5% on qualifying children’s meals, entertainment tickets and admissions to family attractions. The measure was announced by the Chancellor on 21 May 2026 as part of the Great British Summer Savings initiative and will […]
Three Quarters of Taxpayers Yet to Register as First MTD Deadline Nears
Making Tax Digital (MTD) for Income Tax became mandatory from 6 April 2026 for sole traders and landlords with qualifying income above £50,000. Yet reports suggest that around three quarters of affected taxpayers had not registered for the regime shortly after it came into force. With the first quarterly filing deadline now less than two […]
April 2026 Employment Law Changes Explained
April 2026 marks the first major implementation phase of the Employment Rights Act 2025. For employers, the immediate priorities concern payroll, leave administration, redundancy planning, whistleblowing handling and record keeping. A number of changes took effect on 6 April 2026, with the Fair Work Agency launching on 7 April 2026 as the new single enforcement […]
HMRC Tax Take Reaches Record £939bn
HMRC has confirmed that total UK tax receipts reached £938.8 billion in the 2024 to 2025 tax year, marking a 9.3% increase on the previous year. The figures, published in HMRC’s annual bulletin, reflect a combination of rising incomes, higher asset values and policy decisions, including the continued freeze on tax thresholds and recent changes […]
Supreme Court Tightens Capital Allowances Rules
A recent Supreme Court decision has clarified the limits of what businesses can claim as capital allowances, narrowing the scope for pre-construction and preparatory costs. The case, Orsted West of Duddon Sands (UK) Ltd v HMRC, concerned major offshore wind farm developers, but the principles apply far more widely. For SMEs investing in equipment, infrastructure […]
New Tax Year, New Rules & Rates 2026/2027
The new UK tax year has begun with few headline changes, but the underlying tax position continues to shift. Frozen thresholds and reduced allowances are increasing exposure for many taxpayers, while further reforms already under discussion could have a significant impact from April 2027. 2026/27 UK Tax Year Overview The 2026/27 UK tax […]
End of Working from Home Tax Relief
Since 6 April 2026, around 300,000 people working from home have lost access to tax relief on unreimbursed household expenses, following changes announced in last year’s Autumn Budget. The change removes a long‑standing income tax relief for employees who incur additional household costs – such as heating, electricity and business phone calls – as part […]
HMRC Assist Launched Ahead of MTD April 2026
HMRC has introduced a new submission feedback feature as part of the rollout of Making Tax Digital for Income Tax, which comes into force from April 2026 for sole traders and landlords with income over £50,000. The tool, known as HMRC Assist, is designed to prompt taxpayers to review potential discrepancies before filing, using data […]
Late Payment Crackdown: Changes to Law Announced
The UK Government has confirmed plans to tighten late payment laws following its “Time to pay up” consultation, with reforms aimed squarely at improving cash flow across supply chains. Late payment remains a major issue for small and medium sized businesses, with government estimates putting the cost to the UK economy at £11 billion a […]
860,000 Sole Traders & Landlords Urged to Prepare for MTD Rules from April 2026
HM Revenue & Customs (HMRC) has issued a warning that more than 860,000 sole traders and landlords will be brought within the scope of Making Tax Digital (MTD) for Income Tax from 6 April 2026. The reforms are part of the government’s wider programme to modernise the UK tax system, and will affect how many […]
Finance Act 2026 Receives Royal Assent
The Finance (No. 2) Bill 2025 to 2026 received Royal Assent on 18 March 2026, becoming the Finance Act 2026. The Act gives legal effect to a range of measures announced at the Autumn Budget 2025 and introduces changes affecting tax compliance, business investment and inheritance tax planning. Not all measures are taking immediate effect, […]
Trusts Now Required to Register Before CGT Property Reporting
HMRC guidance now indicates that trusts need to be registered with the Trust Registration Service (TRS) before they can report UK property disposals for capital gains tax (CGT). The position affects access to the CGT on UK property reporting system and applies even where a trust would not usually be required to register. Updated […]
New £3,000 Grant for Employers to Hire Young People
The UK Government has announced a package of measures aimed at decreasing youth unemployment, including new financial incentives for employers who recruit young people on Universal Credit who have been out of work for a sustained period. The proposals focus on individuals aged 18 to 24 who are receiving benefits and have been seeking employment […]
HMRC Consults on Corporation Tax Changes
HMRC has launched a consultation on plans to modernise and standardise the way companies prepare and submit corporation tax returns, as a further step in the UK’s move towards a fully digital, data-driven tax system. The proposals focus on introducing a prescribed format for tax computations and requiring amendments to be submitted online, with the […]
Preparing for 5 April Tax Year End: Practical Steps
The end of the UK tax year on 5 April marks the end of the tax year for determining when income, gains and reliefs are treated as arising. For individuals, business owners and investors, it represents the key deadline for reviewing their position before annual allowances reset and certain planning opportunities are no longer available […]