The Registered Pension Schemes (Transfer of Sums and Assets) (Amendment) Regulations, SI 2014/1449, come into effect on 1 July 2014. They clarify that where a pension already in payment at A-day is transferred to a new scheme pension on or after 6 April 2014, but prior to the scheme member’s first lifetime allowance charge valuation (or ‘benefit crystallisation’) event, the new scheme pension is to be treated as if it were the original pre-A-day pension.
ISAs
The Individual Savings Account (Amendment No. 2) Regulations, SI 2014/1450, come into effect on 1 July. They increase the overall annual ISA subscription limit to £15,000, remove the limit on cash ISAs and permit the transfer of ISA funds from a stocks and shares to a cash account. The junior ISA subscription limit is increased to £4,000. The regulations also modify the range of qualifying investments for ISAs and junior ISAs.
FATCA
]On 2 June, the US Internal Revenue Service (IRS) published its first list of FATCA-compliant foreign financial institutions. On 9 June, the Loan Market Association published the 2014 summary note on FATCA. This replaces the May 2013 note. The new note explains the rationalising of the drafting, as the 1 July 2014 deadline for implementation approaches. The investment grade facility agreements now contain language for FATCA on the basis of an agent in a jurisdiction with a model I intergovernmental agreement in place but that is not a qualified intermediary.
HMRC guidance
New HMRC guidance is available from HMRC’s website, including:
the replacement of HMRC’s list of IR35 FAQs with updated guidance. The guidance covers all the practical aspects of implementing the IR35 legislation, from working out whether IR35 applies (and its interaction with the agency legislation) to ascertaining the tax due as a result;
an update to the capital allowances (plant and machinery) toolkit covering three new risks; energy-saving plant and machinery, asset ownership at the time of introduction to the pool and changes to annual investment allowance during a chargeable period. Three further risks have been substantially rewritten;
update to the corporation tax marginal relief calculator;
details of tax credits renewals;
VAT Notes 2 2014 with items on the new ‘your tax account’ online portal for businesses, the planned improvements to the NOVA system from Summer 2014, and a reminder about changes to the place of supply rules for digital services from 1 January 2015;
Notice 235 on outward processing relief;
Notice 75 on fuel for road vehicles;
Notice CCL1/1 on registering for the climate change levy (CCL);
Notice CCL1/2 on the CCL for combined heat and power schemes;
Customs information paper (14) 43 on changes to the processing of repayment claims by the NDRC; and
minutes of the pension industry stakeholder forum of 17 April 2014.
The Registered Pension Schemes (Transfer of Sums and Assets) (Amendment) Regulations, SI 2014/1449, come into effect on 1 July 2014. They clarify that where a pension already in payment at A-day is transferred to a new scheme pension on or after 6 April 2014, but prior to the scheme member’s first lifetime allowance charge valuation (or ‘benefit crystallisation’) event, the new scheme pension is to be treated as if it were the original pre-A-day pension.
ISAs
The Individual Savings Account (Amendment No. 2) Regulations, SI 2014/1450, come into effect on 1 July. They increase the overall annual ISA subscription limit to £15,000, remove the limit on cash ISAs and permit the transfer of ISA funds from a stocks and shares to a cash account. The junior ISA subscription limit is increased to £4,000. The regulations also modify the range of qualifying investments for ISAs and junior ISAs.
FATCA
]On 2 June, the US Internal Revenue Service (IRS) published its first list of FATCA-compliant foreign financial institutions. On 9 June, the Loan Market Association published the 2014 summary note on FATCA. This replaces the May 2013 note. The new note explains the rationalising of the drafting, as the 1 July 2014 deadline for implementation approaches. The investment grade facility agreements now contain language for FATCA on the basis of an agent in a jurisdiction with a model I intergovernmental agreement in place but that is not a qualified intermediary.
HMRC guidance
New HMRC guidance is available from HMRC’s website, including:
the replacement of HMRC’s list of IR35 FAQs with updated guidance. The guidance covers all the practical aspects of implementing the IR35 legislation, from working out whether IR35 applies (and its interaction with the agency legislation) to ascertaining the tax due as a result;
an update to the capital allowances (plant and machinery) toolkit covering three new risks; energy-saving plant and machinery, asset ownership at the time of introduction to the pool and changes to annual investment allowance during a chargeable period. Three further risks have been substantially rewritten;
update to the corporation tax marginal relief calculator;
details of tax credits renewals;
VAT Notes 2 2014 with items on the new ‘your tax account’ online portal for businesses, the planned improvements to the NOVA system from Summer 2014, and a reminder about changes to the place of supply rules for digital services from 1 January 2015;
Notice 235 on outward processing relief;
Notice 75 on fuel for road vehicles;
Notice CCL1/1 on registering for the climate change levy (CCL);
Notice CCL1/2 on the CCL for combined heat and power schemes;
Customs information paper (14) 43 on changes to the processing of repayment claims by the NDRC; and
minutes of the pension industry stakeholder forum of 17 April 2014.
