The tax gap for the 2019/20 tax year is 5.3%, which represents £35 billion, according to statistics recently published by HM Revenue and Customs (HMRC). The total tax gap for Value Added Tax (VAT) is £12.3 billion.
The government is introducing new rules from 1 April 2022 which require large businesses to notify HMRC when they take an uncertain tax position. The taxes within scope of the requirement to notify are Corporation Tax, Income Tax (when returned in a Partnership or PAYE return), and VAT.
The European Commission has decided to postpone the entry into force of the VAT e-commerce Directive to take account of the difficulties that businesses and Member States are facing due to the Coronavirus crisis.
US Supreme Court landmark decision reverses longstanding rule on physical presence and sales tax which could have far reaching consequences for online businesses
The US Supreme Court ruling will impact overseas retailers’ online sales, which are not currently subject to US state sales tax.