2018 Autumn Budget - Anti Avoidance
The following is a summary of the 2018 Autumn Budget in relation to Anti Avoidance
To return to the full summary of facts, click here.
Off-Payroll working in the private sector
The changes to the off-payroll working rules (known as IR35) which put the responsibility on the organisation engaging the worker to determine the employment status of workers, will apply to the private sector from April 2020. However, small organisations will remain exempt.
This brings the rules for the private sector in line with the rules for the public sector.
Offshore receipts in respect of intangible property
A UK Income Tax charge on offshore receipts in respect of intangible property is being introduced from 6 April 2019. This charge applies to multinational groups which generate significant income from intangible property such as royalties but who receive that income in countries or jurisdictions with no or low tax. There will be exemptions such as companies with UK sales not exceeding £10m in a tax year or where most of the trading activity traditionally was carried out in that low tax country or jurisdiction.
Anti-avoidance rules also come into effect from 29 October 2018 to catch arrangements which may be put in place with the aim of avoiding this new charge.
The aim is to level the playing field for other businesses operating in the UK.
To return to the full summary of facts, click here.
A PDF version is available to download here.
Rates and Allowances tables are available to download here.
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