The proposed reforms to Overseas Workday Relief could have greatly simplified administration for taxpayers, agents and HMRC. Steve Wade (EY) examines what’s actually been proposed.
The current Overseas Workday Relief (OWR) regime was in need of reform (see my previous article ‘Overseas workday relief subject to HMRC review’ Tax Journal 3 November 2021). In particular:
OWR is intended to encourage businesses to invest in and send employees to the UK – but it currently requires employees to keep their overseas earnings outside the UK. This seems somewhat at odds to the policy aim given that allowing employees to remit and spend their earnings in the UK would better benefit the UK economy.
The existing rules are extremely complicated in practice with HMRC enquiries into the amount of the relief usually taking years to complete. The extent of the challenges is illustrated by the...
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The proposed reforms to Overseas Workday Relief could have greatly simplified administration for taxpayers, agents and HMRC. Steve Wade (EY) examines what’s actually been proposed.
The current Overseas Workday Relief (OWR) regime was in need of reform (see my previous article ‘Overseas workday relief subject to HMRC review’ Tax Journal 3 November 2021). In particular:
OWR is intended to encourage businesses to invest in and send employees to the UK – but it currently requires employees to keep their overseas earnings outside the UK. This seems somewhat at odds to the policy aim given that allowing employees to remit and spend their earnings in the UK would better benefit the UK economy.
The existing rules are extremely complicated in practice with HMRC enquiries into the amount of the relief usually taking years to complete. The extent of the challenges is illustrated by the...
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:
