James Austen (Charles Russell Speechlys) provides some advice when navigating the legal rapids and shallows.
The government has brought forward the draft legislation at Finance (No. 3) Bill 2018/19 cl 22 and Sch 7 in response to the CJEU’s judgment in Trustees of the P Panayi Accumulation and Maintenance Settlements v HMRC (Case C-646/15). In that case the CJEU found the CGT exit charge on trusts ceasing to be UK resident (TCGA 1992 s 80) to be in breach of the freedom of establishment (article 49 of the Treaty on the Functioning of the European Union (TFEU)) because although restrictions might in principle be justified on the basis of a balanced allocation of powers of taxation between member states failing to provide an option to defer payment of tax was disproportionate.
The draft legislation introduces the concept of a CGT ‘exit charge payment plan’ (ECPP) for the purposes of TCGA 1992...
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James Austen (Charles Russell Speechlys) provides some advice when navigating the legal rapids and shallows.
The government has brought forward the draft legislation at Finance (No. 3) Bill 2018/19 cl 22 and Sch 7 in response to the CJEU’s judgment in Trustees of the P Panayi Accumulation and Maintenance Settlements v HMRC (Case C-646/15). In that case the CJEU found the CGT exit charge on trusts ceasing to be UK resident (TCGA 1992 s 80) to be in breach of the freedom of establishment (article 49 of the Treaty on the Functioning of the European Union (TFEU)) because although restrictions might in principle be justified on the basis of a balanced allocation of powers of taxation between member states failing to provide an option to defer payment of tax was disproportionate.
The draft legislation introduces the concept of a CGT ‘exit charge payment plan’ (ECPP) for the purposes of TCGA 1992...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
