Summer Budget 2015 – Goodwill Regained – but for how long?

 Corporate Tax, IP Tax  Comments Off on Summer Budget 2015 – Goodwill Regained – but for how long?
Aug 142015
 

In a previous article we saw how the Government spoilt everyone’s fun by abolishing corporate tax relief on goodwill when acquiring a business. But there may be a silver lining to our goodwill cloud, though how long this will last remains to be seen.

(This article can be downloaded in pdf format at Academia.edu.)

Continue reading »

Update – Will Investment Funds be taxed at the same 18% rate as Corporates?

 Authorised Investment Funds, Corporate Tax, Investment Tax  Comments Off on Update – Will Investment Funds be taxed at the same 18% rate as Corporates?
Aug 052015
 

I can’t believe it. I’ve received a response to my email to HMRC enquiring what will happen to the tax rate for retail investment funds when the corporate rates are coming down to 18%.

Someone thinks I’m important at last! (Now if only The Times Money section will admit their VCT error).

The answer is a nice straightforward – “They may be. Then again, they may not.” Continue reading »

Jul 152015
 

8140678383_b981c48d95No, it’s not really goodbye. Goodwill hasn’t gone away, it’s still there all right. A company that acquires a business is still required to write down the value of the purchased goodwill in its accounts. But from 8 July 2015, it will no longer be able to deduct the amounts written off when calculating its taxable profits.

This isn’t great news. Not great news at all – it was actually hidden away towards the bottom of the list on the relevant GOV.UK webpage. I only found it easily because I’ve got into the habit of looking for those Budget measures to be effective immediately, so I can start writing my own Budget page.

So what does it all mean? And why do I find myself laughing? Continue reading »

Jul 102015
 

I recently attended a conference at the Said Business School in Oxford, “celebrating” Fifty Years of Corporation Tax in the UK. Yes, that’s right, fifty years have passed since a special tax was introduced for companies. No, it doesn’t mean they weren’t paying any tax before, they just paid a different tax – what that tax was called I couldn’t possibly tell you, since I wasn’t in practise at the time.

This was the first tax conference I’d been to for a very long time. The last time was in 2003 in London, one of those conferences organised for tax practitioners by IBC or whatever they call themselves these days. This conference was held in Oxford – the first time I’ve attended the Said Business School, which I’ve passed on a number of occasions, since I live locally, and sometimes go day tripping to the City of Spires. Continue reading »