Sovereign immunity from direct taxation

This session focusses on the EU proposal for the Anti-Tax Avoidance Directive III ("ATAD") that concerns preventing the misuse of shell entities for tax purposes. The session will go through the timeline, scope, reporting obligations, tax consequences and potential penalties following the proposal.

Tax Partner Simon Skinner and Senior Associate Hugh Brooks have written an article for the latest British Tax Review on recent changes of law relating to HM Revenue and Customs powers in relation to disclosures of tax avoidance schemes, and promoters and enablers of such schemes (British Tax Review Issue 4, 2021). A PDF of this contribution is linked below. Alternatively you can download to print, to save for later or for a different experience.

Finance Bill 2021 – Tackling Promoters of Tax Avoidance Consultation: background, proposed amendments to DOTAS and DASVOIT regimes, POTAS regime, Enablers of Tax Avoidance measures and GAAR.

Real estate tax update: including temporary residential SDLT rates, amendments to Private residence relief (PRR), Structures and Buildings Allowance, corporate capital loss restriction, changes to CGT payment dates and the non-resident SDLT surcharge.

COVID-19 measures, covering the job retention scheme, joint and several liability of company directors, tax deferral measures and VAY monthly v quarterly accounting.

Review of Finance Act 2019 profit fragmentation rules, covering meaning of "profit fragmentation arrangements", tax mismatch and motive test safe harbours with worked examples.