A new rule aimed at preventing individuals from using companies to avoid taxes through the Transfer of Assets Abroad (ToAA) provisions applies to income arising to persons abroad on and after 6 April 2024.

This change affects UK residents who own or have a financial interest in UK resident close companies or non-resident companies that would be close if they were resident in the UK. Affected individuals will have used companies to transfer assets to a separate non-resident person, or to a non-domiciled individual.

The new rule introduces a provision that deems individuals who are participators in a close company, or a non-resident company that would be close if they were UK resident, as transferors to address situations where such companies make transfers. This change ensures that a transfer made via a company, in which the individual is an owner or has a financial interest, will be considered a ‘relevant transfer’ by that individual for the purposes of the ToAA legislation.

This change should not affect genuine commercial transactions or transfers that are not aimed at avoiding tax, as outlined in sections 736 to 742 of the Income Tax Act 2007.

It is important to take the necessary steps to protect your land and property from fraud.

You are at a higher risk if:

• Your identity has been stolen
• You rent out your property
• You live abroad
• The property is empty
• The property is not mortgaged
• The property is not registered with HM Land Registry

HM Land Registry offers a free property alert service to help protect against fraud. This service monitors properties that might be at risk of fraudulent sale or mortgage. You can monitor up to ten properties through this service.

The alert service is available for any property in England or Wales registered with the Land Registry. Once you register, you will receive email alerts about specific activities on your properties, such as when a new mortgage is taken out, so you can act if needed.

For properties in Scotland or Northern Ireland, you will need to check different registers.

One of the most commonly used and valuable exemptions from Capital Gains Tax (CGT) is for the sale of a family home. Generally, there is no CGT on a property that has been used as your main family residence. However, an investment property that has never been used as your main home will not qualify. This relief is known as Private Residence Relief (PRR).

The rules change if you live abroad. Since April 2015, non-UK residents are subject to CGT on the sale of UK residential property. Only the portion of the gain made after 5 April 2015 is liable for tax. In certain situations, PRR may still apply if the property was the owner’s only or main residence.

If a UK non-resident sells UK residential property, they must submit a non-resident CGT (NRCGT) return and pay any CGT within 60 days of the sale. This return is required even if no CGT is due, or if there is a loss on the sale, and regardless of whether the taxpayer will report the sale on their self-assessment tax return.

There are penalties for not filing the NRCGT return on time or for failing to pay any tax owed by the deadline.

A tribunal recently ruled on the failure of a private limited company, El Recruitment Ltd., to submit its Re-DOC before the statutory deadline as required under the 'Employer Duties' of the Pensions Act 2008. The Pensions Regulator had sent two prior letters, although the company failed to do so and received a compliance notice addressed to the registered office address which was considered properly served.

The regulator unsuccessfully attempted to call the appellant using the number held within its records. El Recruitment did not complete the Re-DOC by the extended deadline and so the Pensions Regulator issued a £400 fixed penalty per Section 144A of the Act.

The director argued that they had moved out of the registered office and forgot to update the registered office address, although they could not be reached by telephone. However, the Tribunal was unmoved and unconvinced by this argument, as one of the reminders had been sent before the move and was still ignored.

While the Pensions Regulator is not obliged to send reminder communications it usually does so as a courtesy and the Company’s appeal over its £400 fine was unsuccessful. This case highlights the importance of filing promptly and allowing sufficient time for delivery.  Re-enrolment must take place every three years at a date of your choosing. To do so today visit https://declaration.ae.tpr.gov.uk/

1 January 2025 – Due date for Corporation Tax due for the year ended 31 March 2024

19 January 2025 – PAYE and NIC deductions due for month ended 5 January 2025. (If you pay your tax electronically the due date is 22 January 2025).

19 January 2025 – Filing deadline for the CIS300 monthly return for the month ended 5 January 2025.

19 January 2025 – CIS tax deducted for the month ended 5 January 2025 is payable by today.

31 January 2025 – Last day to file 2023-24 self-assessment tax returns online.

31 January 2025 – Balance of self-assessment tax owing for 2023-24 due to be settled on or before today unless you have elected to extend this deadline by formal agreement with HMRC. Also due is any first payment on account for 2024-25.

1 February 2025 – Due date for Corporation Tax payable for the year ended 30 April 2024.

19 February 2025 – PAYE and NIC deductions due for month ended 5 February 2025. (If you pay your tax electronically the due date is 22 February 2025)

19 February 2025 – Filing deadline for the CIS300 monthly return for the month ended 5 February 2025.

19 February 2025 – CIS tax deducted for the month ended 5 February 2025 is payable by today.