On 31 January 2024, HMRC published in draft: “The Mutual Societies (Transfers of Business) (Tax) (Amendment) Regulations 2024”. These draft regulations will update existing regulations on the use of trade losses for Corporation Tax (CT) purposes in the event of transfers of business by building societies. Building Societies did not benefit from the wider changes to the CT loss relief rules introduced in 2017 as part of the “CT Loss Reform” project and the intention is to “restore the level playing field”. It is proposed that the amendments apply retrospectively to transfers of business by building societies occurring from 1 January 2023. The draft regulations are open for consultation until 28 February 2024.
Draft regulations published on the use of trade losses in the event of transfers of business by building societies
High Court decision on time limit for claims in the Franked Investment Income (FII) GLO litigation
The High Court has handed down judgment in BAT Industries PLC & Ors v Commissioners of Inland Revenue & Anor [2024] EWHC 195 (Ch). This concerns the remaining issue of limitation for restitution claims for sums paid under mistake of law. Richards J held that constructive discovery of both a DV Challenge and an ACT Challenge took place on 6 June 2000.