Tax / Marchant: VAT troubles for Uber

The rise of the gig economy raises questions about the chargeability of VAT and liability under supply and service principles, highlighted by legal action against Uber over disputed VAT. Robert Marchant, VAT partner at Crowe Clark Whitehill examines the issues at play

Audit / Standard Life Aberdeen confirms KPMG as auditors

Standard Life Aberdeen has confirmed that KPMG will be its auditors, after it completed the £11bn merger of Standard Life and Aberdeen Asset Management on 14 August 2017

Audit / FRC hits PwC with record £5.1m fine over RSM Tenon audit

The Financial Reporting Council (FRC) has given PwC a £5.1m fine - its largest ever – and a severe reprimand for what the regulator termed ‘extensive’ misconduct in the audit of the financial statements of RSM Tenon Group, for the financial year ended 30 June 2011

Tax / Japan's tax reform amid falling revenues

As Japan’s tax revenues fall for the first time in eight years, the Japanese government has been advised to raise its consumption tax to 15% and put off plans to cut corporation tax, say global tax writers

Insight / Standard setters call for greater audit scepticism

Three global standard-setting boards for auditing, accounting ethics and accounting education have released a new publication showcasing observations and potential ways to enhance audit scepticism

Insight / PwC predicts more £100m+ football transfer deals

Football’s financial scores are likely to head on upwards following Brazilian footballer Neymar’s record-breaking €222m (£202m) fee for switching from Barcelona to Paris Saint-Germain, according to analysis by PwC, which suggests the biggest transfers could consistently exceed £100m by the 2024/2025 season

Tax / Online service launched for estates under inheritance tax threshold

HMRC has introduced an online service for estates that are unlikely to pay any inheritance tax (IHT) as they are under the £325,000 threshold

Tax / Wales considers criminal powers to investigate devolved tax crime

The Welsh government is consulting on the criminal investigatory powers to be provided to the Welsh Revenue Authority (WRA) to tackle and deter devolved tax crime, once devolved taxes come into force next year

Audit / SEC fines KPMG £4.8m over energy company audit failures

KPMG is to pay more than $6.2m (£4.8m) to settle charges brought by the Securities and Exchange Commission (SEC) that it failed to properly audit the financial statements of Miller Energy Resources, resulting in investors being misinformed about the company’s value

Technical Alerts

15 Aug 2017

Tax / Farming: trading as a partnership - part 1

In part one of our exclusive series on farming taxation and accounting, Phil Fenn, partner at Mercer and Hole, warns that although operating as a partnership is standard practice for many UK farms, there are potential pitfalls such as the risk of unlimited liability and the implications around each partner owning a share of the assets

Insight / Government publishes policy paper on future EU customs relationship

The government has published a paper setting out proposals for a future customs relationship with the EU post-Brexit, designed to allow UK businesses to continue to trade with their European partners in the future, while expanding their markets beyond the EU

Audit / Toshiba escapes delisting after PwC Arata auditors sign off accounts

Japanese electronics company Toshiba has avoided being delisted from the Tokyo Stock Exchange after auditors from PwC Arata signed off its accounts, allowing it to publish its 2016 annual report

Tax / Welsh government consults on new small business rates relief

The Welsh government is consulting on proposals for a new small business rates relief (SBBR) scheme, due to come into force from 1 April 2018, which will replace the current temporary arrangements in place since 2010

Tax / HMRC warning over ‘re-describing’ loan schemes

HMRC has issued guidance on schemes that claim to avoid the 2019 loan charge on disguised remuneration, pointing out that it views these as tax avoidance schemes, which it warns will not work

Audit / Aberdeen Asset Management and Standard Life complete merger

An audit tender process will have to be undertaken after the £11bn merger between Standard Life and Aberdeen Asset Management

Tax / HMRC sets out format for country-by-country reporting

HMRC has published guidance setting out the process for multinationals in line with OECD requirements for country-by-country reporting (CBCR), with the first reports due by 1 September 2017

Audit / Crowe Clark Whitehill remains top of charity audit league table

The UK’s largest charities paid out £69.4m in audit fees last year, with Crowe Clark Whitehill winning the biggest share for the ninth year running, according to the 2017 Charity Financial league table

Accounting / FRC consults on non-financial reporting guidance

The Financial Reporting Council (FRC) is consulting on amendments to its guidance on the strategic report, designed to take into account the new regulations for non-financial reporting that are effective for financial periods beginning on or after 1 January 2017

Technical Alerts

14 Aug 2017

Tax / Reporting requirements for employment intermediaries

Sarah Bradford ACA CTA director of Write Tax Ltd, assesses the various reporting requirements for employment intermediaries delving into the implications of agency rules alongside IR35 and managed service company rules

Tax / HMRC has starring role in Channel 4 documentary

Tonight sees the broadcast of a television documentary focusing on HMRC’s efforts to find out who is and who is not paying their share of taxes, and the work of teams targeting offshore accounts that could secure millions in unpaid tax

Insight / £157k CGT fraud puts property landlord in jail

A Hampshire property landlord, who failed to declare £157,725 in capital gains tax (CGT) due from the sale of properties, has been jailed for two years and three months

Tax / Demand for reform as Amazon’s corporation tax bill halves

The Booksellers Association has called for the UK’s tax system to be reformed after online retail giant, Amazon, revealed its corporation tax bill halved last year despite its sales passing the £1bn mark for the first time

Insight / Record £15.5m turnover at Moore and Smalley

North west accountancy firm Moore and Smalley has reported a record year for turnover which hit £15.5m, driven in part by an increase in projects for companies operating internationally

Insight / Garden Bridge project abandoned after lack of support from Mayor

The Garden Bridge Trust has announced that it will be winding up its project to build a pedestrian bridge between South Bank and Temple due to a ‘lack of support for the project going forward from the Mayor’

Insight / Charity Commission issues first official warning

The Charity Commission has issued an official warning to the National Hereditary Breast Cancer Helpline, highlighting actions to be taken to address concerns regarding financial irregularities, the first time it has used new powers which came into force in November last year

Tax / Hurst sets up tax compliance division

North west-based accountants, Hurst has created a tax compliance division to help companies, headed by a former tax inspector, amid a crackdown by HMRC on tax matters and the move to Making Tax Digital

Technical Alerts