United Kingdom: Income Tax

Just under a month ahead of the new Chancellor John Healey's first Budget, the focus is firmly on the state pension. However, while the triple lock may be attracting all the headlines, there are plenty of other areas where we might see changes to pensions benefits and taxation in the Budget. Here are seven key areas to keep an eye on.

Finally, the court considered the case of PL Travers Will Trust v HMRC [2014] SFTD 265, which concerned the tax treatment of royalty payments under the will of PL Travers, author of the Mary Poppins series. This had found that part of the receipts from the author’s copyrights had been income but only in relation to a specific period in which the trustees had been responsible for the exploitation of the copyright. This was not the case here.

The Supreme Court has clarified the application of the salaried members rules to investment management LLPs in HMRC v BlueCrest Capital Management, establishing that significant influence must be grounded in legally enforceable rights rather than commercial importance or investment responsibilities. The decision narrows the scope for portfolio managers and desk heads to rely on Condition B, requiring investment management LLPs to review their governance arrangements and member classifications.