90% Take home?

[LisaContractorUmbrella]

HMRC lost the Arctic systems case so I think they already know...

Revenue loses Arctic Systems test case

I wasn't talking about the Arctic case I was talking about your remark concerning 'avoidance'

[kal]

I wasn't talking about the Arctic case I was talking about your remark concerning 'avoidance'

Tax avoidance is legal, its about minimising your tax exposure within the law (e.g income sharing with your spouse as per the Arctic case), tax evasion is about illegally not paying tax that you are required to do so by law (= you go to prison), simples.

[LisaContractorUmbrella]

Tax avoidance is legal, its about minimising your tax exposure within the law (e.g income sharing with your spouse as per the Arctic case), tax evasion is about illegally not paying tax that you are required to do so by law (= you go to prison), simples.

I know the difference. HMR&C, unfortunately, don't. HMRC wins case against tax avoidance scheme on car repairs

[eek]

I know the difference. HMR&C, unfortunately, don't. HMRC wins case against tax avoidance scheme on car repairs

It was an avoidance scheme that failed. As such its no longer avoidance and becomes evasion.

It was just another example of an artificial entity being created to fix a problem. It doesn't work because courts see through them.

[kal]

It was an avoidance scheme that failed. As such its no longer avoidance and becomes evasion.

Its just another example of an artificial entity being created to fix a problem. It doesn't work because courts see through them.

Exactly once it's deemed by the courts to be illegal its no longer avoidance and becomes evasion, the precise point I was trying to make with the avoidance/evasion comment...

[DigitalUser]

Re: 90% Take home?

As I am sure the EBT guys thought a couple of years ago as well but it is a fair point and probably quite correct.

No 'probably' about it, there is case law and thus precedent. Unless things change HMRC can't challenge spouses or civil partnerships with respect to income splitting.

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