Posts

Tax enforcement in the United Kingdom

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We have written about UK taxes before - 
1. Developments in the Provision of Private Client and Offshore services in the UK - http://www.mooresrowland.tax/2019/10/developments-in-provision-of-private.html
2.  UK Tax - Arising vs Remittance Basis
3. Does a UK Tax Resident need to pay tax on Foreign Investment Income? - http://www.mooresrowland.tax/2018/03/uk-tax-arising-vs-remittance-basis.html
4. Tax Considerations for Foreigners Investing in UK Real Estate http://www.mooresrowland.tax/2017/12/tax-considerations-for-foreigners.html
5. Making Tax Payments to HMRC http://www.mooresrowland.tax/2016/06/making-tax-payments-to-hmrc.html
6. Tax Planning for UK Investments - Stamp Duty http://www.mooresrowland.tax/2016/03/tax-planning-for-uk-investors-stamp-duty.html

Now let's talk about enforcement.



How does the tax authority verify compliance with the tax laws and ensure timely payment of taxes? What is the typical procedure for the tax authority to review a tax return and how long does the…

5 reasons why startups need to think about TAX

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Please read this first - http://www.mooresrowland.tax/2019/11/6-steps-to-starting-your-location.html
For many startups, the design and distribution of a successful product is the initial goal, followed by getting investment and building scale. 
Making a profit may be something to aim for in a few years time, at the earliest. 
So you may be wondering why you should care about tax. 

Here are five reasons.



1. Accessing investment reliefs for shareholders 
Many jurisdictions offer generous tax reliefs for founders and early-stage investors. These can significantly boost the post-tax return on equity and form an important part of any investment decision by venture capitalists/angel investors. Failing to structure your startup to take advantage could cost you dearly in tax and lost investment. 
The earlier you identify which schemes apply in your jurisdiction, and the requirements you’ll need to meet, the more likely it is that you and your prospective investors will be able to take advantage.



2.…

Let’s Talk About Estonia

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#Estonia is a jurisdiction often discussed among #entrepreneurs and #businessowners.  It is especially popular with #locationindependent entrepreneurs or #digitalnomads.
Estonia is the only country in the EU where corporate profits are not subject to current income tax. Instead a corporate income tax is imposed only upon the payment of a dividend to the company’s shareholders.  
Unfortunately there is much misunderstanding.  
Here are 7 key points to consider before using Estonia as a jurisdiction in your corporate structure.
If you’re US exposed, and control an Estonian entity, you may not be able to defer taxation until profit distribution because of Subpart F and GILTI rules.In fact, because of Subpart F and GILTI, distributions may be taxed at ordinary rates despite the US – Estonia Tax Treaty - http://www.mooresrowland.tax/2018/02/us-exposed-owner-of-international.htmlIf you’re US exposed, and are a shareholder in an Estonia entity (may be a minority shareholder), you may not be …