Your one-page August Indirect tax summary. Like a good summer beach read, you’ll devour this and be up to date in no time.
- Stamp Duty Land Tax multiple dwelling relief (MDR)? See this recent case here which decided that a main house and annexe represented a single dwelling as there were no kitchen facilities in the annexe and it was only accessible with close proximity to the house.
- Services incorrectly classed as qualifying for the insurance exemption. Appeal dismissed as appellant was making claims for mis-sold PPI. Claims Advisory Group Limited v HMRC
HMRC GUIDANCE UPDATES:
- Plastic Packaging Tax–Guidance updated to include details of registration, exemptions, record keeping, what is a packaging component and substantial modification.
- Notifying HMRC of an option to tax on a property? Time limit has returned to 30 days but ability to use electronic signature has been made permanent. See here
- Unpaid deferred VAT from Covid-19? Penalties will be charged at 5% of the deferred VAT unpaid. See here.
- Want to apply for a partial exemption method? You can now do so online – see here
- Customs Declaration Service (CDS) will be the UK’s single customs platform from 31 March 2023. Services on CHIEF will be withdrawn in two stages. See here
HMRC MANUAL UPDATES:
- Stamp Duty Land Tax – example of the relief available on the exercise of collective rights by tenants of flats. See here
- VAT Education – updated to reflect the UK’s departure from EU. See here
- VAT Education – updated to reflect that driving lessons are not covered by the exemption. See here
- VAT Construction – updated guidance on relevant residential purpose – residential accommodation and providing personal care. See here
- VAT Sport –HMRC continues to apply guidance from the EU Advocate General in the ECJ case of Kennemer for the meaning of non-profit making, despite the UK’s departure from the EU. See here