FTTTx CAPITAL LOSS – relief – shares becoming of negligible value – ICTA s 574 – whether shares subscribed for or purchased from third party – purchased – relief against income not available – appeal dismissed
[2010] UKFTT 566
Bailii
England and Wales
Capital Gains Tax
Updated: 20 January 2022; Ref: scu.567582
Capital Gains Tax — whether property was taxpayer’s only or main residence — meaning of residence — Section 222 Capital Gains Act 1992 — appeal dismissed
[2010] UKFTT 582 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 20 January 2022; Ref: scu.567576
FTTTX Capital Gains Tax — computation of gain — disposal between husband and wife — section 58 Taxation of Chargeable Gains Act 1992 — taxpayer’s return computed gain on the market value acquisition cost — appeal against closure notice re-computing gain — whether Statement of Account constituted a closure notice — appeal against surcharge — appeal dismissed
[2010] UKFTT 611 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 20 January 2022; Ref: scu.567544
Capital gains tax – claim by Respondent for roll-over relief on basis that gain arising on sale of business was wholly in respect of goodwill – HMRC disallowed part of Respondent’s claim on ground that part of consideration for sale was compensation for termination of car dealership – FTT allowed appeal – HMRC appealed on ground that FTT erred in law and reached conclusion not available on facts – appeal allowed
[2012] UKUT 274 (TCC)
Bailii
England and Wales
Capital Gains Tax
Updated: 20 January 2022; Ref: scu.466680
Capital Gains Tax; share valuation; private limited company; price to earnings ratio; discount for lack of marketability, dividend, and re-sale; Taxation of Capital Gains Act 1992 ss35, 272, 273, 275.
[2011] UKFTT 87 (TC), [2011] WTLR 1761
Bailii
England and Wales
Capital Gains Tax
Updated: 20 January 2022; Ref: scu.442799
Capital Gains Tax – Assessment – Discovery assessment under s.29(1) TMA – Whether assessment precluded by section 29(4) or section 29(5)TMA – No – Appeal disallowed
[2011] UKFTT 118 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 18 January 2022; Ref: scu.442898
Appeal from finding in tax planning scheme. As to the residence of the scheme: ‘i) The overarching principle is that a company resides for tax purposes where its real business is carried on, and that is where CMC actually abides;
ii) The principle applies in relation to subsidiaries, including special purpose vehicles;
iii) It is the actual place of management, not that in which it ought to be managed, which fixes the residence of a company;
iv) A company may be resident in a jurisdiction other than that of its incorporation not only where a constitutional organ exercises management and control elsewhere, but if the functions of the company’s constitutional organs are usurped, in the sense that management and control is exercised independently of, or without regard to, its constitutional organs, or if an outsider dictates decisions (as opposed to merely proposing, advising and influencing decisions);’
[2020] EWCA Civ 1705
Bailii
England and Wales
Cited by:
Cited – Tulip Trading Ltd v Bitcoin Association for BSV and Others ChD 5-Jan-2022
Security required for Bitcoin claim
Two applications for security for costs. The claimant claimed against fifteen overseas residents requiring a re-write of cryotocurrency systems so that he could recover sums he said were due to him in respect of Bitcoin assets which he said have . .
Lists of cited by and citing cases may be incomplete.
Capital Gains Tax
Updated: 17 January 2022; Ref: scu.656812
FTTTx CAPITAL GAINS TAX – PENALTIES – application to admit oral witness evidence – residential property acquired with intention of own occupation – never occupied – change of intention – whether property held as an adventure in the nature of a trade or as a capital asset – HMRC amendment to appellant’s return upheld – penalties for failure to notify chargeability and inaccuracy – whether due – two tax-geared penalties in respect of the same tax – TMA s 97A – whether mitigation percentages correct – penalties varied – appeals dismissed
[2016] UKFTT 345 TC
Bailii
England and Wales
Capital Gains Tax
Updated: 17 January 2022; Ref: scu.564841
FTTTX CAPITAL GAINS TAX – Business Asset Taper Relief – Northern Ireland – Land taken on ‘conacre’ arrangements – Whether occupied by the appellant landowner wholly or mainly for the purposes of husbandry? – Yes – Appeal allowed
[2016] UKFTT 342 TC
Bailii
England and Wales
Capital Gains Tax
Updated: 17 January 2022; Ref: scu.564817
CAPITAL GAINS TAX – Entrepreneurs’ relief – Definition of ‘personal company (s 169S(3) TCGA) – Definition of ‘ordinary share capital’ (s 989 ITA 2007) – Whether shares with no right to a dividend have ‘a right to a dividend at a fixed rate’
[2016] UKFTT 305 TC
Bailii
England and Wales
Capital Gains Tax
Updated: 16 January 2022; Ref: scu.564369
[2008] EWHC 266 (Ch)
Bailii
England and Wales
Capital Gains Tax
Updated: 15 January 2022; Ref: scu.264595
Appeal against refusal of CGT EIS and taper relief.
Floyd, Sales LJJ
[2016] EWCA Civ 447
Bailii
England and Wales
Capital Gains Tax
Updated: 14 January 2022; Ref: scu.563257
FTTTx Capital gains tax – disposal of business by sole trader – extent of costs allowable in computation of gain on disposal of goodwill – costs previously included as revenue expenses in accounts – extent of allowable deduction for expenditure allegedly incurred on provision or enhancement of goodwill disposed of – sections 38 and 39 TCGA considered – appeal dismissed, subject to allowance of pounds 500 of disposal costs omitted from HMRC’s calculations in error
[2016] UKFTT 243 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 14 January 2022; Ref: scu.562870
FTTTx CAPITAL GAINS TAX – Tax avoidance scheme; trusts; sale of shares; put option; effect of contingencies, whether sale of trust assets to Irish trust under option agreement, subsequent sale for market value and ‘repatriation’ of the trust to Scotland avoids liability to capital gains tax; or whether there is a single composite transaction on which Capital Gains Tax on market value is chargeable; Taxation of Chargeable Gains Act 1992 ss2, 17, 18, 86, 144, 144ZA; appeals dismissed.
[2016] UKFTT 250 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 14 January 2022; Ref: scu.562868
Capital Gains Tax – Relationship between Enterprise Investment Scheme relief and taper relief in relation to properties that had been part used for business purposes and part for non-business purposes and properties used for part of the period of ownership for business purposes and part for non-business purposes – Appeal allowed
[2011] UKFTT 831 (TC), [2012] SFTD 541, [2012] STI 223
Bailii
England and Wales
Capital Gains Tax
Updated: 12 January 2022; Ref: scu.450955
Property in Scotland – Legal title in taxpayer’s sole name – Property sold to cohabitant – Whether part of dwelling-house that was sole of main residence of taxpayer – Whether cohabitant held beneficial interest in the property – Appeal allowed
[2021] UKFTT 351 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 12 January 2022; Ref: scu.669753
Capital Gains Tax/Taxation of Chargeable Gains : Exemptions and Reliefs
[2016] UKFTT 115 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 10 January 2022; Ref: scu.560510
Capital Gains Tax/Taxation of Chargeable Gains : Computation – whether expenditure deductible in computing chargeable gain – whether entrepreneurs’ relief available – whether HMRC could issue a discovery assessment – appeal dismissed
[2016] UKFTT 78 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 10 January 2022; Ref: scu.559937
Capital gains tax – Disposal from husband to wife – Whether relief governed by condition as to residence of spouses – Whether person resident in U.K. for a year of assessment when so resident for part only of year – Whether relief applied even if one spouse not resident in U.K. – Finance Act 1965, s 45(3) and Sch 7, para 20(1) – Income and Corporation Taxes Act 1970, 5 42(2).
[1984] UKHL TC – 57 – 601, [1984] STC 99, 57 TC 601, [1984] 1 All ER 513, [1984] 1 WLR 163
Bailii
England and Wales
Capital Gains Tax
Updated: 10 January 2022; Ref: scu.559848
HL Capital gains tax – Settled property – Gift in settlement – Part disposal – Connected persons – Assignment of reversion followed by assignment of life interest – Whether the first assignment was only a part disposal – Finance Act 1965 (c 25), ss 22(2), 22(4), 25(2) and Sch 7, paras 17 and 21; Income and Corporation Taxes Act 1970 (c 10), s 454(3).
[1982] UKHL TC – 55 – 92, 55 TC 92, [1982] 2 All ER 630, [1982] 1 WLR 698, [1982] BTC 239, [1982] STC 396
Bailii
England and Wales
Capital Gains Tax
Updated: 10 January 2022; Ref: scu.559775
HL Capital gains tax – Disposal of shares – Whether rights to receive deferred payments constituted ‘incorporeal property’ – Whether a disposal of such property on such payments being made – Finance Act 1965 (c 25), ss 22(1) and 22(3).
[1980] UKHL TC – 54 – 76, [1980] STC 500, 54 TC 76, [1980] TR 335, [1980] 1 WLR 983, [1980] 3 All ER 95
Bailii
Finance Act 1965 22(1) 22(3)
England and Wales
Capital Gains Tax
Updated: 10 January 2022; Ref: scu.559789
The rules against intra-company depreciation transactions used to create artificial losses applied also to the indexation of gains.
Times 25-Jun-1997
Chargeable Gains Act 1992 176
England and Wales
Capital Gains Tax
Updated: 09 January 2022; Ref: scu.89771
CAPITAL GAINS TAX – penalties – late filing of non-resident capital gains tax returns – unaware of the reporting requirements – whether reasonable excuse – no
[2018] UKFTT 762 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 08 January 2022; Ref: scu.632447
Capital Gains Tax/Taxation of Chargeable Gains : Human Rights – CAPITAL GAINS TAX – Late payment penalties – whether time to pay arrangement in force – whether penalty notices were a breach of human rights – appeal allowed in part.
[2015] UKFTT 589 (TC)
Bailii
England and Wales
Capital Gains Tax, Human Rights
Updated: 07 January 2022; Ref: scu.556407
Lord Glennie
[2015] UKUT 334 (TCC)
Bailii
Taxation of Chargeable Gains Act 1992
England and Wales
Capital Gains Tax
Updated: 04 January 2022; Ref: scu.553184
FTTTx Capital Gains Tax/Taxation of Chargeable Gains : Exemptions and Reliefs – – principal private residence – move to new house built in grounds of former house – whether building plot within grounds of original house is within garden or grounds of new house – no – appeal dismissed – s222(1) TCGA 1992
[2015] UKFTT 419 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 03 January 2022; Ref: scu.551536
Lord Justice Green,
Lord Justice Arnold,
And,
Lord Justice Snowden
[2021] EWCA Civ 1804
Bailii
England and Wales
Capital Gains Tax
Updated: 03 January 2022; Ref: scu.670332
FTTTx CAPITAL GAINS TAX – Enterprise Investment Scheme – eligible shares – EIS income tax relief not claimed because income below personal allowance – whether CGT exemption only available if EIS relief claimed – whether the legislation should be interpreted ‘purposively’ on a reverse Ramsay basis -whether the legislation can be ‘read down’ under the Human Rights Act section 3 – HMRC refusal to allow late claim – whether TMA s 118(2) allows a late claim on the basis of reasonable excuse – whether Tribunal has jurisdiction over HMRC’s care and management powers – appeal dismissed.
[2015] UKFTT 337 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 02 January 2022; Ref: scu.550290
FTTTx Capital Gains Tax/Taxation of Chargeable Gains : Exemptions and Reliefs – EIS deferral relief – refusal of HMRC to issue EIS 1 – whether appellant existed wholly for the purpose of carrying on a qualifying trade – whether shares issued in order to raise money for a qualifying business activity – whether share issue proceeds employed wholly for the purpose of the qualifying business activity within the relevant time limits – paragraphs 1(2)(b), (f), (g) and (h) Schedule 5B TCGA – significant amounts expended on improving freehold property used in the business but owned by the shareholder – significant amounts expended on art and antiques to enhance that property – held requirements not satisfied – appeal dismissed
[2015] UKFTT 328 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 02 January 2022; Ref: scu.550274
(Inner House) The House was asked whether the settlement payment of pounds 12 million by the appellant was made for a contingent liability in respect of representations made on a disposal by way of sale of the appellant’s shares in MPLC within the meaning of section 49(1)(c) of the Act, so as to require an adjustment of the appellant’s liability to capital gains tax under section 49(2).
The Lord President
[2014] ScotCS CSIH – 113, 2015 SLT 169, 2015 SC 392, [2015] STC 659, 2015 GWD 2-56, [2015] BTC 1, [2014] CSIH 113
Bailii
Scotland
Capital Gains Tax
Updated: 02 January 2022; Ref: scu.550118
FTTTx CGT – PRIVATE RESIDENCE RELIEF – TAPER RELIEF FOR BUSINESS ASSETS- Appellants disposing of a hotel – capital asset – part business, part non-business use of asset – private residence relief available in relation to non- business gains – yes – were all of remaining gains eligible for business asset taper relief – should remaining gains be re-apportioned into business and non- business gains for taper relief purposes – yes – but just and reasonable apportionment required – all remaining gains eligible for business asset taper relief – Appeal allowed.
[2009] UKFTT 291 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 02 January 2022; Ref: scu.409078
The case established the principle that the profit from a single transaction of a purchase and sale of property was taxable only if it amounts to a trade and if not does not fall within Case VI. The making of a profit on an isolated transaction of purchase and resale does not become income merely because the asset was acquired with the intention of selling at an increased value.
Viscount Dunedin said: ‘The limitations of the words ‘profits and gains’ were pointed out by Blackburn J. long ago in the case of Attorney-General v. Black, when he said that profits and gains in Case VI. must mean profits and gains ejusdem generis with the profits and gains specified in the preceding five Cases. And then there came the memorable and often quoted words of Lord Macnaghten in the London County Council case, when he begged to remind people ‘that income tax is a tax on income.’ The only question, therefore, here was – Was there in any sense income?’ and ‘The fact that a man does not mean to hold an investment may be an item of evidence tending to show whether he is carrying on a trade or concern in the nature of trade in respect of his investments, but per se it leads to no conclusion whatever.’
Lord Buckmaster discounted the suggestion that a profit made on the sale of an asset acquired in the expectation that it would rise in value (and presumably result in a realized gain) is income. To him all that was involved in such a case was the realization of a capital asset.
Viscount Dunedin, Lord Buckmaster
[1930] 1 KB 279, [1930] 15 Tax Cas 333, 15 Tax Cas 333, [1930] AC 415
England and Wales
Citing:
Cited – Inland Revenue Commissioners v Livingston 1927
Lord Clyde said: ‘I think the test, which must be used to determine whether a venture such as we are now considering is or is not, ‘in the nature of trade’, is whether the operations involved in it are of the same kind, and carried on in the same . .
Cited by:
Mentioned – Wisdom v Chamberlain (Inspector of Taxes) CA 8-Nov-1968
The taxpayer, a comic actor, bought silver bullion hoping it would act as a hedge against a possible deflation of the pound. The revenue sought to tax his profits on sale under Schedule D. He argued that the money, being from one transaction, did . .
Lists of cited by and citing cases may be incomplete.
Income Tax, Capital Gains Tax
Updated: 01 January 2022; Ref: scu.235905
Capital Gains Tax/Taxation of Chargeable Gains : Computation
[2015] UKFTT 223 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 30 December 2021; Ref: scu.547396
Capital Gains Tax/Taxation of Chargeable Gains : Exemptions and Reliefs
[2015] UKFTT 168 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 30 December 2021; Ref: scu.547376
Capital Gains Tax/Taxation of Chargeable Gains : Computation
[2015] UKFTT 220 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 30 December 2021; Ref: scu.547370
ECJ Judgment – Reference for a preliminary ruling – Taxation – Freedom of establishment – Article 49 TFEU – Restrictions – Staggered recovery of tax on unrealised capital gains – Preservation of allocation of powers of taxation between Member States – Proportionality
C-657/13, [2015] EUECJ C-657/13, ECLI:EU:C:2015:331
Bailii
European
European, Capital Gains Tax
Updated: 30 December 2021; Ref: scu.547051
Exemptions and reliefs – Appeal against discovery assessment – whether sale of apartment liable to Capital Gains Tax
[2010] UKFTT 495 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 30 December 2021; Ref: scu.426631
ECJ Judgment – Failure of a Member State to fulfil obligations – Tax legislation -Deferral of taxation of capital gains realised on the sale of certain capital assets – Recovery of the tax – Freedom of establishment – Article 49 TFEU – Article 31 of the EEA Agreement – Difference in treatment between permanent establishments located within the territory of a Member State and permanent establishments located within the territory of another Member State of the European Union or of the European Economic Area – Proportionality
C-591/13, [2015] EUECJ C-591/13, ECLI:EU:C:2015:230
Bailii
European, Capital Gains Tax
Updated: 29 December 2021; Ref: scu.545442
Capital Gains Tax – s 222 Taxation of Capital Gains Act 1992 – discovery assessment of capital gains on sale of residential property and fixed penalty for failure to include the gains in a self-assessment return – whether principal private residence exemption applies – no – appeal dismissed
[2018] UKFTT 770 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 28 December 2021; Ref: scu.632433
Capital gains tax – relief under Enterprise Investment Scheme – whether 80% of the share capital subscribed had been ’employed’ in the qualifying company’s trade within the twelve month period from the subscription – monies on instant access deposit account – consideration of different business requirements – appeal dismissed
[2009] UKFTT 366 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 23 December 2021; Ref: scu.409172
Late payment surcharge – whether reasonable excuse on facts – No – Appeal dismissed – Section 59C Taxes Management Act 1970
[2010] UKFTT 188 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 23 December 2021; Ref: scu.422173
FTTTx CAPITAL GAINS TAX – taper relief – para 5(1A) Schedule A1 TCGA 1992 – whether asset disposed of was a business asset – use of land for horse breeding – whether a trade – whether HMRC bound by previous decision to allow relief for trading losses – appeal dismisse
[2014] UKFTT 1001 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 23 December 2021; Ref: scu.539007
FTTTx CAPITAL GAINS TAX – whether a bond a QCB – bond had provision for conversion to euro if UK joined monetary union – bond a QCB
[2014] UKFTT 967 (TC)
Bailii
England and Wales
Cited by:
Appeal from – Revenue and Customs v Trigg (A Partner of Tonnant Llp) UTTC 2-Apr-2016
UTTC CAPITAL GAINS TAX – qualifying corporate bonds (QCBs) – whether provisions in bond instruments for redenomination of sterling bonds to euros (or another currency) on adoption by the UK of the euro (or other . .
Lists of cited by and citing cases may be incomplete.
Capital Gains Tax
Updated: 23 December 2021; Ref: scu.539003
In section 117 the word ‘security’ identified an asset in the nature of an investment. It was used as meaning something distinct from the debt on it referred to in section 117(1)(a), but it was not simply a reference to the document which evidenced the debt.
Briggs J
[2008] EWHC 99 (Ch), [2008] STC 1865
Bailii
Taxation of Chargeable Gains Act 1992 117
England and Wales
Citing:
Appeal from – Harding v Revenue and Customs SCIT 15-Mar-2007
SCIT Capital Gains Tax – qualifying corporate bonds (QCBs) – shares exchanged for loan notes with foreign currency redemption option – section 135 TCGA applying to exchange – loan notes not QCBs on exchange – . .
Cited by:
Appeal from – Harding v Revenue and Customs CA 23-Oct-2008
Lapsed Currency conversion option lost status
The taxpayer appealed his assessment to Capital Gains Tax on his redemption of loan notes arising following the sale of his computer company. He said that they were qualifying corporate bonds. The question was whether a security in which a currency . .
Lists of cited by and citing cases may be incomplete.
Capital Gains Tax
Updated: 23 December 2021; Ref: scu.264024
The claimants were beneficiaries, trustee and protector of a trust fund. In order to mitigate Capital Gains Tax liability they sought advice, and, following that advice, entered into a deed of gift in favour of the respondent charity. The deed needed to be dated in the new tax year, but was dated for the previous year. They sought a declaration that the deed was void ab initio, the directors having failed to address a relevant consideration.
Held: The declaration was granted. The matters which could, if present, be taken into account, can include factors which might vitiate the intended legal effect of the deed, including the fiscal effect. It was unrealistic to divorce the several steps from each other. Trustees must consider the fiscal consequences of their acts, and a failure to do so was capable of leading to the application of ‘the Rule in Hastings-Bass’.
Potter J
Gazette 13-Sep-2001, Times 25-Sep-2001, [2001] EWHC B2 (Ch), [2001] STI 1225, [2001] STC 1344, [2001] WTLR 953, [2002] BTC 178, (2000-01) 3 ITELR 846
Bailii
England and Wales
Citing:
Cited – Re Hastings-Bass; Hastings v Inland Revenue CA 14-Mar-1974
Trustees of a settlement had exercised their power of advancement under the section, in order to save estate duty by transferring investments to be held on the trusts of a later settlement. However the actual effect of the advancement was that the . .
applied – Green v Cobham ChD 19-Jan-2000
cw The Trustees had overlooked the fact that a Will Trust and two sub-settlements together constituted a single composite settlement for the purposes of CGT with a single body of trustees. As a result of his . .
Cited by:
Applied – Burrell and Sharman v Burrell, Shore, Tyrrell, etc ChD 23-Feb-2005
burrell_burrellChD05
Shares were appointed by trustees in the mistaken belief that they attracted business property relief from Inheritance tax. They sought to set aside the appointment.
Held: Mann J applied the rule in Stannard v Fisons Pensions Trust and . .
Cited – Futter and Another v Futter and Others ChD 11-Mar-2010
Various family settlements had been created. The trustees wished to use the rule in Hastings-Bass to re-open decisions they had made after receiving incorrect advice.
Held: The deeds were set aside as void. The Rule in Hastings-Bass derives . .
Lists of cited by and citing cases may be incomplete.
Trusts, Capital Gains Tax
Updated: 23 December 2021; Ref: scu.163314
TAX – capital gains tax – apportionment – ‘just and reasonable’ – marriage value – existing use value of constituent parts – formula in VOA manual – alternative marriage value approach – appeal allowed – Section 222, Taxation of Chargeable Gains Act 1992
[2014] UKUT 409 (LC)
Bailii
Taxation of Chargeable Gains Act 1992 222
England and Wales
Capital Gains Tax
Updated: 22 December 2021; Ref: scu.538016
Capital Gains Tax – Principal Private Residence Relief – Has Appellant demonstrated that criteria for relief are met? – No – appeal dismissed
[2014] UKFTT 949 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 22 December 2021; Ref: scu.537670
FTTTx CAPITAL GAINS TAX – entrepreneurs’ relief – Chapter 3 part V TCGA 1992 – whether a material disposal of business assets within s 169I – whether an officer or employee of the company at the relevant time – appeal allowed
[2014] UKFTT 9243 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 21 December 2021; Ref: scu.537258
The House considered the meaning of the word ‘bounty’ in an income tax context, where it had been used by the courts: ‘My Lords, I would venture to point out that the word ‘bounty’ appears nowhere in the statute. It is a judicial gloss upon the statute descriptive of those classes of cases which are caught by the section in contrast to those which are not. The courts must, I think, be extremely careful not to interpret this descriptive word too rigidly . . What the cases have sought to do is to distinguish between those cases where the recipient has in return for that benefit which he has received accepted some obligation which he has to perform, either before receiving the benefit or at some stated time thereafter, and those cases where the recipient benefits without any assumption by him of any correlative obligation.’
HL Capital gains tax – Avoidance – Foreign trustees – Appointment to beneficiary of interest in shares contingent on survivalfor three days – Immediate sale by him to foreign company coupled with contract to repurchase shares on fourth day – Whether scheme effective to avoid apportionment of gain to beneficiary – Finance Act 1965 (c 25), ss 25(3) and 42(2) and Sch 7, para 13(1).
The House was considering whether an emolument could be said to arise ‘from’ a taxpayer’s employment or office, Lord Radcliffe cited various judicial statements and stated: ‘These are all glosses, and they are all of value as illustrating the idea which is expressed by the words of the statute. But it is perhaps worth observing that they do not displace those words’.
Lord Roskill, Lord Radcliffe
[1981] 1 All ER 189, [1981] AC 533, [1980] UKHL TC – 54 – 311, [1981] 2 WLR 14, 54 TC 311, [1980] TR 467, [1981] STC 1
Bailii
Finance Act 1965 25(3) 42(2)
England and Wales
Citing:
Cited – Inland Revenue Commissioners v Plummer HL 1-Nov-1979
Although transactions were integrated as part of a preconceived scheme which was commercially marketed and that had no other conceivable purpose than that of saving surtax, the construction of the statute compelled the acceptance of a fiscal result . .
Cited by:
Applied – W T Ramsay Ltd v Inland Revenue Commissioners HL 12-Mar-1981
The taxpayers used schemes to create allowable losses, and now appealed assessment to tax. The schemes involved a series of transactions none of which were a sham, but which had the effect of cancelling each other out.
Held: If the true nature . .
Cited – Jones v Michael Vincent Garnett (HM Inspector of Taxes) CA 15-Dec-2005
Husband and wife had been shareholders in a company, the wife being recorded as company secretary. The company paid dividenceds to both. The husband appealed a decision that the payment to his wife was by way of a settlement and was taxable in his . .
Cited – Butler v Wildin 1988
Two brothers acquired a company and were the sole directors. 19 shares each were acquired by the children with their own money. Two later born children also acquired 19 shares therein with their own money from their respective fathers and others, . .
Cited – Jones v Garnett (Her Majesty’s Inspector of Taxes) HL 25-Jul-2007
The husband and wife had each owned a share in a company which sold the services of the husband. The Revenue claimed that the payment of dividends to the wife was a settlement.
Held: The Revenue failed. The share had been transferred to the . .
Cited – Shop Direct Group v Revenue and Customs SC 17-Feb-2016
The Court considered the interpretation of the sections which applied corporation tax to post-cessation receipts. Companies had received from the Inland Revenue substantial repayments of VAT together with interest. There had been reorganisations of . .
Cited – RFC 2012 Plc (Formerly The Rangers Football Club Plc) v Advocate General for Scotland SC 5-Jul-2017
The Court was asked whether an employee’s remuneration is taxable as his or her emoluments or earnings when it is paid to a third party in circumstances in which the employee had no prior entitlement to receive it himself or herself.
Held: The . .
Lists of cited by and citing cases may be incomplete.
Taxes Management, Income Tax, Capital Gains Tax
Updated: 21 December 2021; Ref: scu.559790
FTTTx INCOME TAX AND CAPITAL GAINS TAX – negligible value claims made by executors in respect of period before deceased’s death – whether claims could be made by executors – purposive interpretation of relevant legislation – appeal allowed in so far as claim used against income and gains arising in lifetime of decease
[2014] UKFTT 892 (TC)
Bailii
England and Wales
Income Tax, Capital Gains Tax
Updated: 21 December 2021; Ref: scu.536741
ECJ Grand Chamber – Transfer of a company’s place of effective management to a Member State other than that in which it is incorporated – Freedom of establishment – Article 49 TFEU – Taxation of unrealised capital gains relating to the assets of a company transferring its place of management between Member States – Determination of the amount of tax at the time of the transfer of the place of management – Immediate recovery of the tax – Proportionality
A. Tizzano, P
[2011] EUECJ C-371/10
Bailii
Citing:
Opinion – National Grid Indus v Inspecteur van de Rijnmond Belastingdienst / kantoor Rotterdam ECJ 8-Sep-2011
ECJ Opinion – Freedom of establishment – Companies – Exit taxation for companies that move their headquarters to another Member State – Establishment and taxation of hidden reserves – unrealized foreign exchange . .
Lists of cited by and citing cases may be incomplete.
European, Company, Capital Gains Tax
Updated: 17 December 2021; Ref: scu.534457
FTTTx CAPITAL GAINS TAX – assessment made outside ordinary time limit – s 36(1) TMA – whether loss of capital gains tax attributable to negligent conduct of taxpayer or a person acting on her behalf
JURISDICTION – whether First-tier Tribunal has jurisdiction to consider legitimate expectation and other public law arguments – construction of s 50(6) TMA
LEGITIMATE EXPECTATION – whether appellant had a legitimate expectation as a consequence of representations of HMRC either (i) that relief would apply to a gain on certain share disposals, and (ii) that no other reliefs would be available, at a time when a claim for EIS relief could have been made for a particular tax year
[2014] UKFTT 657 (TC)
Bailii
Capital Gains Tax
Updated: 17 December 2021; Ref: scu.534282
Moses J
[2004] EWHC 1069 (Admin)
Bailii
England and Wales
Capital Gains Tax
Updated: 16 December 2021; Ref: scu.226871
Capital Gains Tax/Taxation of Chargeable Gains : Other – disposals of (a) a piece of land with dwelling to connected person and (b) another contiguous piece to developer – Code of Practice 9 investigation into returns for 2006-07 and 2007-08 on basis that (a) land disposal not returned and (b) that business assets taper relief may have been wrongly claimed – Schedule 36 notice issued and reissued – HMRC withdrawing case before appeal hearing – further notice with fewer requirements issued three months after withdrawal – whether res judicata applies – whether abuse of process -whether Condition B in paragraph 21 Schedule 36 (officer had reason to suspect loss of tax) met where no evidence from officer – whether decisions about s 20 TMA that there must be a sensible or reasonable prospect of HMRC making a valid discovery assessment applicable to Schedule 36 notices.
[2018] UKFTT 774 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 13 December 2021; Ref: scu.632450
CAPITAL GAINS TAX – s253(4) of TCGA 1992 – whether payments made under a guarantee of qualifying loans – no – they were made under an indemnity – appeal dismissed
[2018] UKFTT 735 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 13 December 2021; Ref: scu.632441
A taxpayer’s inactive acquiescence in an inspector’s mistaken acceptance did not create an agreement which could restrain correction of the error.
Times 25-Feb-1998
Taxes Management Act 1970 54
England and Wales
Citing:
Appealed to – Schuldenfrei v Hilton (Her Majesty’s Inspector of Taxes) CA 16-Jul-1999
Where an inspector issued an assessment to tax, but mistakenly completed it to say that no tax was payable, and the taxpayer did nothing to indicate reliance upon it, there was no agreement between the taxpayer and the inspector such as would . .
Cited by:
Appeal from – Schuldenfrei v Hilton (Her Majesty’s Inspector of Taxes) CA 16-Jul-1999
Where an inspector issued an assessment to tax, but mistakenly completed it to say that no tax was payable, and the taxpayer did nothing to indicate reliance upon it, there was no agreement between the taxpayer and the inspector such as would . .
Lists of cited by and citing cases may be incomplete.
Capital Gains Tax, Taxes Management
Updated: 13 December 2021; Ref: scu.89052
The taxpayer had accepted a grant toward the building of a new club house. They sought rollover relief on the proceeds of sale of the former club house. The inspector sought to restrict the claim to exclude the benefit of the grant.
Held: The grant was not to be taken into account. Section 50 did not apply to reduce the allowance claimed under section 152. Nothing in either section referred to the other so as to establish a link, and the case of Watton established that there was none.
Mr Justice Ferris
Times 29-May-2002, Gazette 13-Jun-2002
Taxation of Chargeable Gains Act 1992 50 152
England and Wales
Citing:
Cited – Watton (Inspector of Taxes) v Tippett CA 27-Jun-1997
Proceeds of the sale of part of a business which had been invested back into the business cannot be rolled over into the acquisition cost of remainder. . .
Lists of cited by and citing cases may be incomplete.
Capital Gains Tax
Updated: 11 December 2021; Ref: scu.171304
Capital gains tax – self assessment- penalty under s 95(1) Taxes Management Act 1970- whether incorrect return delivered fraudulently or negligently- reliance on advice as to effectiveness of capital loss generation scheme involving contracts for differences
[2016] UKFTT 500 (TC), [2017] SFTD 370, [2016] STI 2687
Bailii
England and Wales
Capital Gains Tax
Updated: 10 December 2021; Ref: scu.567686
Lord Justice Lawrence Collins
[2008] EWCA Civ 1423, [2009] STI 256, [2009] 1 EG 76, [2008] NPC 139, [2009] BTC 26, [2009] STC 239
Bailii
Taxation of Chargeable Gains Act 1992
England and Wales
Capital Gains Tax
Updated: 06 December 2021; Ref: scu.278778
FTTTx CGT – valuation of goodwill in accounting practice -March 1982 deemed disposal valuation – calculation by reference to ‘client book’ or ‘whole practice’ taking account of net assets – market valuation – valuation on sale in 2003 – consistency of approach – valuation method to be used – multiple to be applied – held – ‘client book’ accepted as most appropriate valuation method for accountancy firms – multiples for 1982 and 2003 adjusted- appeal allowed in part.
[2014] UKFTT 459 (TC)
Bailii
Capital Gains Tax
Updated: 05 December 2021; Ref: scu.526895
CAPITAL GAINS TAX – preliminary issue – whether appeal settled by agreement – s 54, Taxes Management Act 1970
[2014] UKFTT 483 (TC)
Bailii
Taxes Management Act 1970 54
England and Wales
Capital Gains Tax, Taxes Management
Updated: 05 December 2021; Ref: scu.526794
TAX – capital gains tax – residential premises – leasehold – value at 31 March 1982 – comparables – marriage value – share of undivided beneficial interest – value of leasehold interest determined at pounds 3,164 – appeal allowed in part
[2014] UKUT 184 (LC)
Bailii
England and Wales
Capital Gains Tax
Updated: 03 December 2021; Ref: scu.525944
UTTC Capital Gains Tax – Relationship between Enterprise Investment Scheme relief and Taper Relief in relation to properties that had been used for both business and nonbusiness purposes, either concurrently or at different times, in the period of ownership by the taxpayer – Appeal allowed
[2014] UKUT 165 (TCC)
Bailii
England and Wales
Capital Gains Tax
Updated: 03 December 2021; Ref: scu.525887
FTTTx CAPITAL GAINS TAX – INCOME TAX – application for an extension of time for the making of an appeal to the Tribunal – balancing exercise undertaken – O’Flaherty v HMRC [2013] UKUT 161 (TC) and HMRC v McCarthy and Stone (Developments) Ltd considered – Tribunal’s discretion exercised to refuse an extension in the light of the overriding objective of the Tribunal’s rules
[2014] UKFTT 274 (TC)
Bailii
Capital Gains Tax, Income Tax
Updated: 03 December 2021; Ref: scu.525254
Capital Gains Tax/Taxation of Chargeable Gains – non-resident CGT return – penalties of pounds 1,300 for failure to file return within 30 days of completion of house sale – whether HMRC have shown penalty due: yes – whether fact that residence status in year of disposal not yet ascertained relevant: no – s 12ZJ TMA applies – whether reliance on third party reasonable excuse: yes – whether ignorance of law reasonable excuse: yes, following Perrin in Upper Tribunal – whether paragraph 4 daily penalties purportedly withdrawn remain outstanding – appeal allowed against all penalties, including daily penalties.
[2018] UKFTT 455 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 03 December 2021; Ref: scu.622362
FTTTx INCOME AND CAPITAL GAINS TAX – decision of tribunal in principle – hearing adjourned for parties to determine figures – subsequent allegations by appellant that tribunal misled by HMRC’s witness – whether misleading evidence – jurisdiction – quantification of income and capital gains tax due – whether jurisdiction to consider interest calculation and charge – relevance to calculation of penalties of settlement offer made by appellant –
[2014] UKFTT 200 (TC)
Bailii
England and Wales
Income Tax, Capital Gains Tax
Updated: 30 November 2021; Ref: scu.521791
CAPITAL GAINS TAX – expenditure incurred on an asset.
[2014] UKFTT 103 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 30 November 2021; Ref: scu.521670
CAPITAL GAINS TAX – exchange of shares for loan stock – TCGA 1993 s 137 – whether the exchange was effected for bona fide commercial reasons – yes -whether one of the main purposes of the scheme or arrangements including the exchange was avoidance of capital gains tax – yes – appeal dismissed
[2006] UKSPC SPC00532
Bailii
England and Wales
Capital Gains Tax
Updated: 28 November 2021; Ref: scu.241239
FTTTx Joint application by Appellant and Respondent under Section 28Z TMA 1970 – Capital Gains tax – Private residence relief – Sale of part of grounds for residential development -Construction work commenced before contractual disposal – Whether land fell to be regarded as part of grounds -Yes – Whether relief due – Yes
[2013] UKFTT 653 (TC)
Bailii
Taxes Management Act 1970 28Z
Capital Gains Tax
Updated: 26 November 2021; Ref: scu.518590
ECJ CAPITAL GAINS TAX – Relief on disposal of private residence (TCGA s 222) – Sale of residential property owned by Appellant – Demolition of existing house and construction of new house in its place – Appeal dismissed
[2013] UKFTT 636 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 25 November 2021; Ref: scu.517709
FTTTx Capital gains tax – taper relief – gain arising on disposal of residential property used as accommodation for workers in restaurant – whether business asset taper relief available – paragraph 5(1A) of Schedule A1, Taxation of Chargeable Gains Act 1992 – whether property used wholly or partly for the purposes of the restaurant trade – yes – business asset taper relief available – appeal allowed
[2013] UKFTT 417 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 20 November 2021; Ref: scu.515192
Capital Gains Tax/Taxation of Chargeable Gains – penalties – late filing of non-resident capital gains tax returns – unaware of the reporting requirements – whether reasonable excuse – no
[2018] UKFTT 739 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 19 November 2021; Ref: scu.632482
FTTTx Capital gains tax – disposal of two properties – agent’s figures did not provide a deduction for property improvements – no details forthcoming – bank account shows numerous withdrawals for the period prior to sales – Appellant cannot provide details of what expenditure incurred – impossible to conclude how much expenditure incurred – appeal dismissed
[2013] UKFTT 389 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 18 November 2021; Ref: scu.514183
FTTTx CAPITAL GAINS TAX – whether property disposed of by the appellant was held by him as an investment or as trading stock – held that the evidence supported the conclusion that it had been held as an investment – appeal dismissed
[2013] UKFTT 382 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 18 November 2021; Ref: scu.514179
CAPITAL GAINS TAX – Private residence relief – meaning of ‘residence’ – Section 222 Taxation of Chargeable Gains Act 1992 – Appeal dismissed
[2012] UKFTT 258 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 18 November 2021; Ref: scu.462680
FTTTx Capital Gains Tax – allowable deductions from disposal proceeds – purchase of one half share in property followed by later purchase of the other half share – latter transaction treated in tax return for the year in question as disposal of existing half share and acquisition of entire property, resulting in small tax payment – whether, on a later disposal of the entire property, the Appellant should be allowed to deduct market value of entire property at time of 100% acquisition – held no – appeal dismissed
[2013] UKFTT 373 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 17 November 2021; Ref: scu.513510
CAPITAL GAINS TAX – Business Asset – Taper Relief – HMRC agreed a four bedroom house used for business for two years – dispute concerned the remaining years – no evidence that the house was used for business – not entitled to business taper relief – Appeal dismissed – amendment to self assessment returns confirmed
[2013] UKFTT 347 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 17 November 2021; Ref: scu.513492
FTTTx CAPITAL GAINS TAX – whether distributions to beneficiaries from new resident trust to be matched to gains in original offshore trust – HMRC accepted that flip-flop mark II scheme effective so gains not arising in new trust – whether s 97(5) TCGA 1992 applied so that the distributions to beneficiaries from the new trust were nevertheless ‘from . . indirectly’ the original trust – yes as on facts new trust was essentially and viewed realistically a continuation of the original trust – assessments upheld
[2013] UKFTT 366 (TC)
Bailii
Capital Gains Tax
Updated: 17 November 2021; Ref: scu.513478
FTTTx CGT -artificial scheme to create allowable loss – non commercial exercise of options – ss17 and 144 TCGA; s144ZA – whether disapplied by s 144ZB – whether a ‘securities option’ within Ch 5 Pt 7 ITEPA.
S 149AA TCGA- whether deed poll an arrangement for conversion of shares- whether employment related securities.
Ch 5 Pt 7 ITEPA: whether option acquired by reason of employment of another person; whether retrospective addition to s 420(8) has effect.
Income Tax – s 574 TA 88 – CGT loss available against income -whether qualifying trading company- whether sale of shares bargain at arm’s length.
[2013] UKFTT 297 (TC)
Bailii
Capital Gains Tax, Income Tax
Updated: 17 November 2021; Ref: scu.513429
Closure notice and amendment to self assessment – capital gains tax liability – whether correctly assessable in full on Appellant – appeal allowed
[2011] UKFTT 346 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 17 November 2021; Ref: scu.443054
Capital Gains Tax – penalties – late filing of non-resident capital gains tax return – whether reasonable excuse – whether ignorance of law an excuse – yes -appeal allowed
[2018] UKFTT 457 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 15 November 2021; Ref: scu.622365
CAPITAL GAINS TAX – disposal of interest in property – resultant trust-discovery assessment – deliberate actions – failure to consider tax consequences of declaration of trust
[2018] UKFTT 451 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 12 November 2021; Ref: scu.622368
CGT – artificial scheme to create allowable loss ? whether consideration given wholly or exclusively for the acquisition of asset – s. 38(1)(a) TCGA Appeals – alternative arguments by Respondents – whether requiring permission to appeal
[2015] UKUT 164 (TCC), [2015] BTC 516, [2015] STC 1975
Bailii
England and Wales
Capital Gains Tax
Updated: 12 November 2021; Ref: scu.549085
FTTTX Employment income – payment under Compromise Agreement – whether attributable to future right to receive shares – whether taxable under s 22 TCGA-held – contingent right to be offered shares in the future not an asset for CGT purposes – whole of sum taxable as employment income – appeal dismissed.
Rachel Short TJ
[2014] UKFTT 159 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 11 November 2021; Ref: scu.521779
FTTTx Capital Gains Tax penalties – complaint that penalties calculated on basis of incorrect assessments – assessments appealed against and appeal lost – permission to appeal refused – impossibility of going behind previous tribunal decision – taxpayer’s remedy – appeal dismissed
[2014] UKFTT 390 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 11 November 2021; Ref: scu.525378
FTTTx CAPITAL GAINS TAX – Discovery assessment; tax avoidance scheme involving capital redemption policies; whether HMRC officer discovered that chargeable gains ought to have been assessed or relief refused, whether an assessment was insufficient, or whether any relief given was excessive; whether officer of HMRC could not have been reasonably expected to be aware of the chargeable gains, insufficiency or excess relief; TMA 1970 s 29; what constitutes such awareness; tests to be applied; Res Judicata and judicial review proceedings; abuse of process; application to set aside Direction refusing to allow Grounds of Appeal to be amended; The Tribunal Procedure (First-tier Tribunal) (Tax Chamber) Rules 2009 Rule 6(5); Appeal dismissed
[2014] UKFTT 841 (TC)
Bailii
Taxes Management Act 1970 29
England and Wales
Capital Gains Tax
Updated: 11 November 2021; Ref: scu.536405
FTTTx CAPITAL GAINS TAX – s 171A TCGA 1992 – notional transfer within a group – disposal of debt on repayment of loan notes – statutory construction – whether disposal to a person who was not a member of the group – no – appeal dismissed
[2013] UKFTT 37 (TC)
Bailii
England and Wales
Capital Gains Tax
Updated: 11 November 2021; Ref: scu.472269
FTTTX CAPITAL GAINS TAX – Claim for relief for overpaid tax – Schedule 1AB Taxes Management Act 1970 – return showing disposal of shares giving rise to a chargeable gain – capital gains tax paid – taxpayer later claiming that the transaction was fraudulent and the capital gains tax should be repaid to her – whether the shares had been beneficially owned by the taxpayer – found on the balance of probabilities that they had – held no overpayment of capital gains tax – Revenue’s alternative argument based on taxpayer’s failure to amend the return in time (Case C, paragraph 2(4), Schedule 1AB TMA) rejected on the basis that if there had been an overpayment it was for HMRC to prove that the taxpayer knew or ought reasonably to have known of that fact before the time for amendment of the return expired and they had not proved that fact – appeal dismissed
[2013] UKFTT 673 (TC)
Bailii
Taxes Management Act 1970
England and Wales
Capital Gains Tax, Taxes Management
Updated: 10 November 2021; Ref: scu.518627