Have your say on the future of stamp taxes on shares
HMRC has launched a consultation on simplifying stamp taxes on share transactions. What are the proposed alternatives and how can you have your say on them?
HMRC is seeking views on its proposed changes to Stamp Duty and Stamp Duty Reserve Tax. Stamp Duty is currently charged on share transfers effected on paper, i.e. a stock transfer form. Whereas Stamp Duty Reserve Tax is charged on paperless transactions, which is more common. The intention is to modernise this area and reduce the administrative burden and inefficiencies for both taxpayers and HMRC. The consultation is focussed on the following:
- whether to have a single tax on securities rather than the current framework of both Stamp Duty and Stamp Duty Reserve Tax
- proposals for the assessment and administration of any new single tax on securities
- proposals for key elements of any new single tax on securities including liability, tax base, geographical scope, compliance regime and exemptions and reliefs
If you want to get involved, the consultation document can be found here and responses should be emailed to sts.consultation@hmrc.gov.uk by 22 June 2023.
Related Topics
-
Unused sales suppression tools can still trigger penalties
HMRC has published a new compliance factsheet explaining the penalties that can apply where a business possesses an electronic sales suppression (ESS) tool, even if it has never actually been used to suppress a sale. What do you need to know?
-
Accounting for VAT if there is no cash payment
Your business has submitted repayment returns for the last two quarters and you are concerned that you might have underpaid output tax on some supplies where no money has changed hands. Are your concerns justified?
-
Treatment of distributions under review
The government has launched a consultation on modernising the tax treatment of distributions and repayments of capital by companies. The proposals could affect the distinction between dividends taxed as income and capital payments subject to CGT. What changes are being considered?