The complicated VAT life of a lease

Article Abstract:

Instances wherein value-added tax (VAT) liabilities can arise within the duration of commercial building leases are reviewed. These conditions include first exempt leases, developmental leases, sub-leases, multiple occupancy, rent apportionment, capital goods adjustment plan and termination of a lease. Other areas assessed for potential VAT liabilities are failure to pay the balance of a premium, electricity recharge, insurance, damages for loss of rent, variation, rent adjustment, interest on late rent, covenant, continuing obligation and sales to satisfy debt. VAT responsibility policies are mostly contained in the Value Added Tax Act of 1983. Violation of the terms of the leases is under the scope of the Law Property Act of 1925 while lease disclaims by a liquidator are under the Insolvency Act of 1985.

Evaluation, Taxation, Building leases

---

Tax cheats: do they prosper?

Article Abstract:

The costs of tax evasion in the UK have been estimated at four billion pounds sterling annually. The Institute of Chartered Accountants in England and Wales has by-laws expelling members involved in tax evasion, and the Taxes Management Act of 1970 and Finance Act of 1989 penalize any person who assists in the preparation of fraudulent tax returns. Culpability applies only if parties have actual knowledge of illegality, and recent court decisions indicate that the courts will not recognize benefits accrued to criminals from crimes unless there is no link between criminal behavior and their subsequent tax claims.

Analysis, Tax accounting, Tax policy, Tax evasion

---

A question of VAT: how did you fare?

Article Abstract:

The answers to last month's quiz on the complications and ramifications of the UK's value added tax are presented.

Accounting

Similar abstracts:

• Abstracts: The crystal ball and the balance of payments. Where have all the graduates gone? Can you second-guess the chancellor?
• Abstracts: Type and timing of partnership distributions can increase tax benefits to the partners. part 2 Special election avoids gain on transferred partnership property from being taxed twice
• Abstracts: The economics of best advice. Time to rebuild the audit foundations? The financial management of schools
• Abstracts: Principles as well as roots. Taurus and its traumas. A place at the nursery

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.