Arctic Systems – HMRC Gives GuidanceFollowing
the decision in the Arctic Systems case
HMRC have provided guidance on how tax
returns are to be dealt with following
the House of Lords’ decision.
The Office of Fair Trading (OFT) is
taking a case to the High Court to decide
whether or not the level of unauthorised
overdraft charges made by banks are legal.
According to the OFT, tens of thousands
of complaints that these charges are
unfair have been received by the County
Courts and the Financial Ombudsman Service.
HMRC have apologised to small employers,
those with less than 50 employees, awaiting
their £150 tax-free incentive payment
in respect of the 2006/07 tax year.
The VAT fuel scale charge
is the output VAT charge payable by VAT
registered businesses which allow their
employees to claim all the fuel expenses
on their company cars and reclaim VAT
on the full amount of fuel purchased
without making an adjustment for private
use.
The Chancellor of the Exchequer, Alistair
Darling, has announced that HMRC will
introduce a series of measures to help
individuals and businesses affected by
the recent severe flooding. The Government
will introduce legislation in next year's
Finance Bill to allow HMRC to waive interest
and surcharges on tax paid late due to
the floods.
HMRC have announced
that they appreciate some individuals
and businesses will find it difficult
to meet their tax obligations
due to the recent foot and mouth
outbreak.
