The Court of Appeal judgment in Bhaur provides a salutary lesson to those considering artificial tax avoidance schemes, writes Michael Avient (Temple Tax Chambers).
The decision of the Court of Appeal in Bhaur and others v Equity First Trustees (Nevis) Ltd and others [2023] EWCA Civ 534 provides a clear summary of the principles to be applied when seeking to invoke the equitable jurisdiction of mistake in respect of artificial tax avoidance schemes.
It considers the sometimes-difficult line to be drawn between a mistake or a misprediction and provides analysis of the decision of Lord Walker in Pitt v Holt [2013] 2 AC 108. Further it considers the principles to be applied to mistakes as to the consequences of transactions risk taking and tax.
What was the background?
The Bhaurs entered a tax avoidance scheme utilising an employee benefit trust and a perceived lacuna in IHTA 1984 s...
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The Court of Appeal judgment in Bhaur provides a salutary lesson to those considering artificial tax avoidance schemes, writes Michael Avient (Temple Tax Chambers).
The decision of the Court of Appeal in Bhaur and others v Equity First Trustees (Nevis) Ltd and others [2023] EWCA Civ 534 provides a clear summary of the principles to be applied when seeking to invoke the equitable jurisdiction of mistake in respect of artificial tax avoidance schemes.
It considers the sometimes-difficult line to be drawn between a mistake or a misprediction and provides analysis of the decision of Lord Walker in Pitt v Holt [2013] 2 AC 108. Further it considers the principles to be applied to mistakes as to the consequences of transactions risk taking and tax.
What was the background?
The Bhaurs entered a tax avoidance scheme utilising an employee benefit trust and a perceived lacuna in IHTA 1984 s...
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If you do not subscribe but are a registered user, please enter your details in the following boxes:
