Tax Planning Implementation

Tax planning and tax avoidance are legal. Tax evasion is not.

But HMRC tell Inspectors,

“Do not assume the facts are as described in the scheme. Check for implementation failure and always consider a penalty if an avoidance scheme fails because it has not been implemented correctly. “

Tax Inspectors will check whether tax planning is technically correct. But at the same time, and often before, they will also check that all the formal documents were in place at the right time and generally that the arrangements were made in such a way as to create the desired tax effect.

It is essential then to ensure that any planning is done correctly.

EDF Tax ensures that any tax planning we offer is correctly implemented. We also offer a service of checking other tax planning to mitigate implementation risk.

We will:

• review the original counsel’s opinion or other advice
• review all the documents in existence that relate to the planning. This will include e-mails etc as HMRC can in some cases see internal correspondence.
• Report on the extent to which implementation has been carried out correctly
• Advise on the likelihood of HMRC arguing for implementation failure
• Advise on the likely success of the planning

For further information please contact Iain Macleod on 0115 983 5580 or mobile 07920 146800 or email Iain at imacleod@edftax.co.uk