Jump to content
House Price Crash Forum
Sign in to follow this  
Saving For a Space Ship

Hmrc Tax Offsetting Rule To Drive More Biz's Under

Recommended Posts

Link

May be of interest ..

HMRC is claiming that it needs to change how loss relief works because a minority of taxpayers look to create artificial or enhanced losses to reduce or eliminate their tax liabilities on their general income. HMRC is concerned that the amount of loss relief claimed often greatly exceeds the actual economic loss, if any, to the taxpayer concerned.

According to UHY Hacker Young, giving HMRC the power to sit on legitimate tax refunds at a time when many taxpayers are financially stretched could be disastrous for many small businesses which may have to wait months – or even years – to get money to which they are entitled.

Roy Maugham, Tax Partner at UHY Hacker Young, comments: “Struggling businesses can hardly afford to pay tax and wait for the refund. These proposals will cause serious cashflow problems for a huge number of legitimate businesses and some will probably go to the wall as a result.”

“The vast majority of businesses who offset trading losses against income tax are abiding by the current rules. HMRC’s proposals may reduce tax avoidance, but only by inflicting a form of collective punishment on thousands of legitimate businesses.”

Share this post


Link to post
Share on other sites

Dont all big businesses make strategic losses?

Yes, but they can afford good lawyers and accountants and hence are not as easy a target. Burglars and highwaymen always choose helpless or unprotected victims.

Edited by Tiger Woods?

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.