Year: 2026

HMRC has published a tax information and impact note outlining modifications to the regulatory framework governing employee share schemes, encompassing Company Share Option Plans and Enterprise Management Incentive arrangements. The changes affect how employers and employees are taxed when participating in these share-based compensation programmes. This update clarifies the rules businesses must follow when operating qualifying employee share schemes and the tax treatment participants will receive.

Source: HMRC (GOV.UK) – Read the original

HMRC has issued guidance on how image rights payments connected to employment arrangements are taxed for income tax purposes. The policy paper sets out the tax treatment applicable to individuals receiving such payments, particularly relevant for athletes, entertainers and public figures whose image is commercially exploited. This clarification affects how these payments should be reported and assessed by taxpayers and employers in relation to employment income tax obligations.

Source: HMRC (GOV.UK) – Read the original

The government will amend the VAT Act 1994 to reflect the planned abolition of NHS England in 2027. The changes are necessary to ensure VAT treatment remains clear following the restructuring of England’s health service. Specific details of how VAT exemptions and reliefs will be reallocated to successor organisations have been outlined in this tax information and impact note.

Source: HMRC (GOV.UK) – Read the original

HMRC has published a policy paper establishing the framework governing exploration and exploitation rights for activities on the UK Continental Shelf. The policy clarifies the regulatory approach and legal rights applicable to operators conducting resource extraction and related activities in UK offshore waters. This measure affects companies involved in oil, gas, minerals, and other extractive industries operating on the continental shelf.

Source: HMRC (GOV.UK) – Read the original

New draft legislation will establish revised requirements for correcting inaccuracies in returns and documents submitted to HMRC. The measure aims to modernise how businesses and individuals can rectify errors in their tax filings and compliance documentation. The policy sets out the framework for the correction process that will replace existing procedures.

Source: HMRC (GOV.UK) – Read the original

The UK government has published a policy paper detailing reforms to Capital Gains Tax (CGT) relief provisions that apply when business assets are donated. The document sets out modifications to how CGT relief operates for such gifts under UK tax law. This impacts business owners and those advising on gift transactions involving business assets.

Source: HMRC (GOV.UK) – Read the original

The UK government has introduced modifications to how Income Tax is calculated on savings and property income through a formal policy paper and tax impact note. These changes adjust the tax rates and thresholds applicable to individuals receiving income from savings accounts and residential property investments. The policy document outlines the specific rate changes and provides analysis of the expected impact on taxpayers across different income brackets. Affected individuals and businesses should review the updated rates to understand how their tax liability may be modified.

Source: HMRC (GOV.UK) – Read the original

The government is modernising the stamp tax framework through introduction of a Securities Transfer Tax that will apply when securities change hands and will supersede the current Stamp Duty and Stamp Duty Reserve Tax regimes. This reform simplifies the existing dual-tax structure that has governed share transfers. Traders, brokers, investment firms and corporate entities involved in securities transactions will be affected by this consolidation of stamp tax legislation.

Source: HMRC (GOV.UK) – Read the original

HM Revenue and Customs has issued guidance clarifying the circumstances under which non-insurance companies can benefit from a partial Corporation Tax exemption when receiving payouts from investment life insurance contracts. The policy paper sets out the conditions that must be met for businesses to qualify for this tax relief. This clarification affects companies holding investment life insurance policies as part of their business arrangements.

Source: HMRC (GOV.UK) – Read the original

New policy measures aim to prevent UK residents from using non-UK resident protected cell companies to avoid capital gains tax on their asset holdings. The measures affect individuals, trustees and companies that currently hold assets through such structures. These changes close loopholes that allow taxpayers to defer or reduce their UK tax liabilities on investment gains.

Source: HMRC (GOV.UK) – Read the original