One minute with Kate Featherstone, partner at Shoosmiths
What is keeping you busy at work?
My answer to that question changes on a daily (and sometimes hourly) basis! Shoosmiths is a genuinely national firm with an incredibly diverse client base. We act for individuals, start-ups, private equity and VCT investors, listed companies, property developers, banks, and everything and everybody in-between. My predominant focus is transactional tax, but that’s not exclusive. Every day is a school day in our tax department, and I love the variety and challenge that presents.
If you could make one change to tax law or practice, what would it be?
I’m torn between overhauling stamp duty and removing some of the uncertainties and arbitrary nuances associated with EMI share option schemes. I mean, what could be a bigger waste of time than having to split the legal and beneficial interest in shares to avoid a delay in the stamping process stalling a wider corporate transaction? I suppose you could spend hours grappling with a proposed cashless exercise where no cashless exercise facility exists, or worrying about the restrictions attached to the shares not being properly disclosed to the option holder in circumstances where the option holder will only hold the shares for approximately 30 seconds. Practically, there is a great deal that HMRC could do in both of these areas to improve life both for taxpayers and their advisers.
What should we be on the look-out for in 2020?
For me, right now it’s all about IR35. We’ve just finished a nationwide series of presentations to clients most likely to be impacted by these changes. We are working with some of them to review their off-payroll worker populations, introduce appropriate protections and to handle changes and communications in a timely and appropriate fashion. Some of our clients are using this as an opportunity to completely restructure roles in the hope of gaining a competitive advantage when it comes to attracting talent. Lessons learned from the introduction of the equivalent public sector regime tell us that preparation is key, so taxpayers, advisers and HMRC have invested a massive amount of time and effort preparing themselves for the proposed changes. Imagine their dismay then when all the major political parties pledge to review the forthcoming changes (with Labour promising to halt the proposal altogether)? The uncertainty for businesses in the UK at the moment is unrelenting. It’s difficult, I think, to see so many people investing so much in compliance, only to then be told that they may be wasting their time – it’s a sorry state of affairs.
And finally, you might not know this about me but...
I grew up on a racetrack. I’m one of the most successful female Autograss competitors of all time, with 14 national titles to my name. I’ve competed in a broad range of motorsports outside of Autograss, including Legends, Mini Miglias, Formula First and Formula Palmer Audi. It really didn’t do my GCSE results any favours (and I didn’t even make it to my A levels), but it helps with our social mobility statistics, and I can change four tyres with a new valve and balance in under five minutes.
One minute with Kate Featherstone, partner at Shoosmiths
What is keeping you busy at work?
My answer to that question changes on a daily (and sometimes hourly) basis! Shoosmiths is a genuinely national firm with an incredibly diverse client base. We act for individuals, start-ups, private equity and VCT investors, listed companies, property developers, banks, and everything and everybody in-between. My predominant focus is transactional tax, but that’s not exclusive. Every day is a school day in our tax department, and I love the variety and challenge that presents.
If you could make one change to tax law or practice, what would it be?
I’m torn between overhauling stamp duty and removing some of the uncertainties and arbitrary nuances associated with EMI share option schemes. I mean, what could be a bigger waste of time than having to split the legal and beneficial interest in shares to avoid a delay in the stamping process stalling a wider corporate transaction? I suppose you could spend hours grappling with a proposed cashless exercise where no cashless exercise facility exists, or worrying about the restrictions attached to the shares not being properly disclosed to the option holder in circumstances where the option holder will only hold the shares for approximately 30 seconds. Practically, there is a great deal that HMRC could do in both of these areas to improve life both for taxpayers and their advisers.
What should we be on the look-out for in 2020?
For me, right now it’s all about IR35. We’ve just finished a nationwide series of presentations to clients most likely to be impacted by these changes. We are working with some of them to review their off-payroll worker populations, introduce appropriate protections and to handle changes and communications in a timely and appropriate fashion. Some of our clients are using this as an opportunity to completely restructure roles in the hope of gaining a competitive advantage when it comes to attracting talent. Lessons learned from the introduction of the equivalent public sector regime tell us that preparation is key, so taxpayers, advisers and HMRC have invested a massive amount of time and effort preparing themselves for the proposed changes. Imagine their dismay then when all the major political parties pledge to review the forthcoming changes (with Labour promising to halt the proposal altogether)? The uncertainty for businesses in the UK at the moment is unrelenting. It’s difficult, I think, to see so many people investing so much in compliance, only to then be told that they may be wasting their time – it’s a sorry state of affairs.
And finally, you might not know this about me but...
I grew up on a racetrack. I’m one of the most successful female Autograss competitors of all time, with 14 national titles to my name. I’ve competed in a broad range of motorsports outside of Autograss, including Legends, Mini Miglias, Formula First and Formula Palmer Audi. It really didn’t do my GCSE results any favours (and I didn’t even make it to my A levels), but it helps with our social mobility statistics, and I can change four tyres with a new valve and balance in under five minutes.
