Featured documents
Introduction to statutory interpretation The aim of statutory interpretation is to determine the legal meaning of a statute, that is, the sense that expresses the legislator’s intention. The clearest guide to that intention is the statutory wording itself, read in its context and with its overall purpose in mind, and its broader legislative setting. Courts should seek to fulfil the purpose of legislation by construing its language, so far as they can, in the manner that most effectively serves that purpose. Put differently, the courts’ default method is purposive, and every enactment is to be construed with that end in view. There is a starting presumption that the grammatical and ordinary sense of an enactment reflects the meaning intended by the legislator. Where an enactment reasonably bears only a single meaning, and no other interpretative tools or
This Practice Note addresses identifying a fiduciary, fiduciary duties and obligations, the no conflict rule, the no profit rule, a fiduciary's duty of confidence, and the remedies available for breach of fiduciary duty. Who is a fiduciary? There is no definitive catalogue of relationships that give rise to fiduciary obligations at common law in every situation universally. Certain relationships are inherently fiduciary, eg trustee and beneficiary, solicitor and client, principal and agent, business partner and co-partners, together with mortgagor and mortgagee. The obligations of some fiduciaries have been set out in statute; for instance, trustees owe a statutory duty of skill and care under section 1 of the Trustee Act 2000 (TrA 2000), and directors' relationships with their companies are addressed in the Companies Act 2006 too. For guidance on directors' fiduciary duties, see Practice Note: of directors for further detailed
Definition of ADR Alternative dispute resolution (ADR) is defined in the CPR Glossary as a collective label for methods of settling disputes other than through the usual trial process. Some courts adopt the term ‘negotiated dispute resolution’ (NDR) to describe resolution by alternative means; for ease, this Practice Note uses ADR. For guidance on how ADR is addressed in the various court guides, see Practice Note: ADR and NDR in the court guides. In essence, ADR is a means of resolving a dispute outside the court system. It typically involves a neutral third party who either helps the parties reach a negotiated outcome, or issues a determination of the dispute that is legally binding. A binding result can follow where the agreement to refer the dispute to ADR so provides. There are multiple forms of ADR processes. For an outline of the different types and their
In brief The British constitution is uncodified, meaning it does not spring from a single constitutional document or code. It draws on a wide range of written and unwritten sources. Alongside the principal written sources of law in England and Wales—legislation (which has also introduced international and human rights principles into our constitution) and the common law—the constitution also rests on two further unwritten bases within this system: the prerogative, and non-legal constitutional conventions. In addition, on one view the basic or prevailing principle of our constitution, Parliamentary sovereignty, is ultimately grounded in political fact rather than in law. Legislation Legislation is the foremost source of constitutional law. Acts of Parliament may set out detailed constitutional rules, or even pass authority to create them to ministers or to others. Under the doctrine of Parliamentary sovereignty, legislation is traditionally regarded as taking precedence over any other form or kind of
Most recent Practice notes
The UK’s rules on hybrid and other mismatches These rules—referred to in this Practice Note as the hybrid rules—have been in force since 1 January 2017 and are designed to neutralise tax mismatches arising from how a hybrid instrument or hybrid entity is treated for tax purposes. They counter differing characterisations. While the hybrid rules typically address cross‑border dealings involving two or more jurisdictions, they can equally extend to transactions carried out wholly within the UK. In particular, the hybrid rules focus on: deduction/non‑inclusion mismatches ( D/ NI mismatches), ie where a payment under a hybrid mismatch arrangement is deductible in the payer jurisdiction for tax, but is not brought into the taxable income of a payee or a related party investor; and double deduction cases ( DD cases), ie where a payment made under a hybrid mismatch arrangement gives rise to more than one tax...
The UK’s rules on hybrid and other mismatches The UK’s regime tackling hybrid and other mismatches (described in this Practice Note as the hybrid rules) has applied from 1 January 2017 and is intended to neutralise tax mismatches that result from the tax treatment of a hybrid instrument or a hybrid entity. Although these rules typically concern cross-border arrangements involving multiple jurisdictions, they can equally apply to transactions that are wholly domestic within the UK. deduction/non-inclusion mismatches ( D/ NI mismatches), meaning a payment within a hybrid mismatch arrangement is deductible for tax in the payer’s jurisdiction but is not brought into the taxable income of the payee or a related party investor double deduction cases ( DD cases), where a payment under a hybrid mismatch arrangement generates more than one tax deduction Separate chapters deal with distinct categories of D/ NI mismatches and DD cases, and in each...
The UK’s rules on hybrid and other mismatches The UK’s regime for hybrid and other mismatches (referred to in this Practice Note as the hybrid rules) has applied since 1 January 2017, aiming to neutralise tax outcomes that arise from how a hybrid instrument or hybrid entity is treated for tax. Although these rules generally concern cross‑border dealings across two or more jurisdictions, they can equally extend to transactions conducted entirely within the UK. In essence, the hybrid rules address: deduction/non‑inclusion mismatches ( D/ NI mismatches), ie where a payment within a hybrid mismatch arrangement is deductible for tax in the payer jurisdiction but not brought into the taxable income of the recipient or a related party investor, and double deduction cases ( DD cases), ie where a payment under a hybrid mismatch arrangement gives rise to more than one tax...
Hybrid and other mismatches The UK’s rules on hybrid and other mismatches (termed in this Practice Note the hybrid rules) have been in force since 1 January 2017 and are intended to neutralise tax asymmetries arising from how a hybrid instrument or hybrid entity is treated for tax purposes. While they generally address cross‑border dealings spanning two or more jurisdictions, the hybrid rules can equally bite on wholly UK domestic arrangements. In particular, they focus on: deduction/non‑inclusion mismatches ( D/ NI mismatches), i.e. where a payment made under a hybrid mismatch arrangement is deductible in the payer’s jurisdiction for tax purposes but is not brought into the taxable income of the payee or a related party investor; and double deduction cases ( DD cases), i.e. where a payment under a hybrid mismatch arrangement triggers more than one tax...
Sponsor organisations must notify the Home Office of a range of organisational changes. The process for submitting a report, and who is responsible for doing so, varies with the nature of the change. See Practice Note: Downgrading and revocation of Workers and Temporary Workers sponsorship licences for more on the penalties a sponsor may face for failing to meet these reporting obligations... Changes that must be notified on the Sponsorship Management System These changes should be submitted by a Level 1 user through the Sponsorship Management System ( SMS), using the ‘request changes to licence details’ or ‘ Manage Level 1 and 2 users’ functions. A Level 2 user cannot carry this out. With the exception of replacing an authorising officer or key contact, every listed change must be reported within 20 working days of the relevant event. The Sponsor Guidance notes that the Home Office may...
Using this Practice Note This page sets out an A– Z of Home Office application forms for submissions from within the UK, with, where applicable, links to a fully editable, saveable Lexis®Smart version of each form (see below). Where applications are completed online, you’ll also find the relevant links. For certain permission to stay routes, the link directs you to the GOV. UK page for the Home Office online tool used to extend stay in that route. That page features an ‘apply’ button leading to the form. For switching, the same form is generally used, and the tool can be used to navigate to the switching page. Using Lexis®Smart versions of Home Office forms and checking they are up-to-date When the Home Office releases a new PDF version of a form, it does not supply Lexis Nexis® with an advance copy....
This Practice Note provides a spreadsheet to work out Home Office charges, including the immigration health surcharge, for applications covering entry clearance, permission to stay and settlement across a range of common business and personal immigration routes. It also details the fees for sponsoring migrant workers when the adviser is acting for the sponsor in specified routes. These comprise: the sponsor licence fee the immigration skills charge the cost of assigning a Certificate of Sponsorship ( Co S) The calculator is designed to save time at onboarding and during new client enquiries, with total amounts and itemised breakdowns ready to paste into an email. Do note that the tool does not encompass every immigration route or scenario; it focuses on the frequent routes relevant to business immigration advisers in everyday practice. It is not exhaustive and is aimed at adviser use. The...
What is the requirement to correct? The statutory footing for the requirement to correct ( RTC) sits in section 67 and Schedule 18 of the Finance ( No 2) Act 2017 ( F( No 2) A 2017). It obliged taxpayers with ‘relevant offshore tax non-compliance’—that is, undeclared UK income tax, capital gains tax ( CGT) or inheritance tax ( IHT) liabilities arising from offshore interests—to put matters right by notifying HMRC of any unpaid tax no later than 30 September 2018. HMRC’s RTC guidance explains that 30 September 2018 was selected as the final correction date because, by then, over 100 jurisdictions were scheduled to share financial account information under the Common Reporting Standard ( CRS). For background on the CRS, see Practice Note: Automatic exchange of information—the Common Reporting Standard: a summary. Those who did not provide the necessary disclosure to HMRC on or...
This Practice Note consolidates the HMRC Manuals tracker that featured weekly in the Private Client highlights from January 2021 to December 2024, arranged by HMRC Manual in reverse chronological order. It captures many of the key amendments to the HMRC Manuals set out below that will interest Private Client practitioners. For the combined tracker from January 2025 onwards, see Practice Note: Consolidated HMRC Manuals tracker 2025–26– Private Client. Avoidance Handling Process Manual Pages amended • Date of change • Comments Added: AHP1000, AHP1200, AHP1300, AHP1400, AHP1450, AHP2000, AHP2100, AHP2200, AHP2300, AHP3000, AHP3100, AHP3200, AHP3300, AHP3400, AHP3500, AHP4000, AHP4100, AHP4200, AHP4300, AHP4350, AHP4400, AHP4500, AHP4550 and AHP4570 Date: 29 September 2023 Summary: This new manual sets out HMRC’s method for managing tax avoidance risks across all taxes and HMRC directorates, aiming for consistency and effectiveness. The overview sections describe what HMRC regards as tax avoidance, as distinct from lawful tax...
Since 2007, HMRC has run a series of disclosure routes for individuals with offshore investments. These schemes offered a limited window to come forward voluntarily and put tax affairs in order with reduced penalties compared with those later identified by HMRC This Practice Note provides a brief introduction to the: Offshore Disclosure Facility ( ODF), which closed in 2007 New Disclosure Opportunity ( NDO), which closed in 2010 Liechtenstein Disclosure Facility ( LDF), which closed in 2015 UK- Swiss Tax Co-operation Agreement ( Agreement) which closed on 31 December 2016 Jersey, Guernsey and Isle of Man Disclosure Facilities ( Crown Dependency Disclosure Facilities), which closed in 2015 Worldwide Disclosure Facility ( WDF) Offshore Disclosure Facility HMRC introduced the ODF in April 2007 to coincide with obtaining data on overseas account holders from five major clearing banks, using its powers under...
Practice Note This note outlines the Finance Act 2009 ( FA 2009) penalty framework for late payment of: income tax and Class 1 NICs collected through pay as you earn ( PAYE) student loan deductions income tax due under the Construction Industry Scheme ( CIS) Class 1A and Class 1B NICs the apprenticeship levy Overdue liabilities also attract interest; see Practice Note: Interest on late paid tax. How late payment penalties are worked out depends on the payment cycle: monthly or quarterly (this is usually the position for income tax and Class 1 NICs under PAYE, student loan deductions, CIS payments and apprenticeship levy payments), or annually (for Class 1A and Class 1B NICs) Penalties on late-paid self assessed income tax (rather than amounts settled via PAYE) are dealt with in Practice Note: Late payment...
For broader guidance on share incentive plans ( SIPs), see Practice Note: What is a SIP? For an overview of save as you earn ( SAYE) schemes, see Practice Note: How SAYE schemes work and key features. Legislation governing SIPs and SAYEs—registration and filing requirements The statutory requirements for SIPs and SAYE schemes are set out in separate schedules to the Income Tax ( Earnings and Pensions) Act 2003 ( ITEPA 2003): ITEPA 2003, Sch 2 applies to SIPs and ITEPA 2003, Sch 3 applies to SAYE schemes. In this Practice Note, these are termed ‘ Schedule 2’ or ‘ Schedule 3’, as appropriate—or ‘the applicable schedule of ITEPA 2003’. The provisions dealing with registration and filing are found as follows: for SIPs, in ITEPA 2003, Sch 2 Pt 10, paras 81A–81K, and for SAYE schemes, in ITEPA 2003, Sch 3 Pt 8, paras...
Why are deadlines important? To comply with the legislation and steer clear of penalties and interest triggered by late payment of tax, taxpayers and their advisers need to stay aware of every relevant deadline across the year. A wide range of tax elections, as well as claims for allowances, may still be lodged after the filing deadline for the self-assessment tax return has passed. The standard time limit for submitting claims or elections linked to income tax or capital gains tax ( CGT) is four years from the close of the tax year to which the particular claim or election relates. That said, a number of elections have a distinct cut-off: the first anniversary of 31 January following the tax year in which the relevant event took place (as noted below). In addition, several capital gains reinvestment or roll over reliefs stipulate that an...
In practice, the choice of a hedge fund’s legal form is led by regulatory and tax factors. From a tax perspective, as with any fund, the aim is, so far as practicable, to leave each investor in much the same tax position as if they held the fund’s assets outright. Against that backdrop, hedge fund-style offerings usually take one of two shapes: a managed account—ie a ‘no fund’ set-up a fund—ie a pooled investment vehicle If a pooled vehicle is selected, further points arise: whether the fund should be: onshore (ie UK, an OECD country, or EU) or offshore (and, if so, which jurisdiction) a partnership or a corporate entity a reporting or non-reporting fund for the UK offshore funds regime ...
Practice Note: Tax and hedge funds—structuring the hedge fund vehicle When shaping how a hedge fund’s investment management should be arranged, the choice of legal vehicle for the fund itself—and, in particular, where it is formed—matters greatly. As discussed in Practice Note: Tax and hedge funds—structuring the hedge fund vehicle, a hedge fund vehicle can, in practice, adopt one of these structures: a Cayman Islands company a limited partnership an entity set up in another low (non- EU) tax jurisdiction (eg the Channel Islands, British Virgin Islands or Bermuda), or an entity or structure created under a special tax exemption regime in an EU or OECD member country (eg a Luxembourg SICAV or an Irish OEIC) This Practice Note explores the key tax issues when deciding how to organise the management of the fund’s investments. For these purposes, it is assumed that management is undertaken from the UK, which...
FORTHCOMING CHANGE relating to the modernisation of stamp taxes on shares framework: In 2027, stamp duty and SDRT will be replaced by a single, self-assessed securities tax, the securities transfer charge ( STC), payable and reportable via a new online portal. The STC’s design will broadly mirror the proposals set out in the 2023 consultation. This forms part of the modernisation of the stamp taxes on shares framework. Finance Bill 2026 ( FB 2026) creates a power, commencing on Royal Assent, to make secondary legislation so taxpayers can pilot the digital service by self-assessing their stamp taxes on securities liabilities and submitting transactions electronically. For further detail on the modernisation of stamp taxes on securities, see: News Analyses: Budget 2025— Tax analysis— Stamp and transfer taxes Tax update spring 2025— Stamp taxes on shares modernisation Tax update spring 2025— Tax...
FORTHCOMING CHANGES: At Budget 2025, the government set out measures to be legislated in Finance Bill 2026: Cutting the writing-down allowance rate for main pool plant and machinery from 18% to 14%, effective 1 April 2026 for corporation tax and 6 April 2026 for income tax. This impacts companies and unincorporated businesses with main rate pools, for example where spend does not qualify for, or predates, first-year allowances ( FYAs) such as the super-deduction and full expensing. Introducing a new 40% FYA for qualifying main rate expenditure incurred from 1 January 2026, with fewer restrictions than other FYAs. It is expected to help chiefly where spend is not covered by the £1m annual investment allowance ( AIA) or existing FYAs (including full expensing). The 40% FYA will be available to all businesses (not just companies) and will include assets used for leasing (excluding overseas...
ARCHIVED: This Practice Note has been archived and is not maintained. On 23 March 2016, the Infrastructure and Projects Authority (‘ IPA’), which reports to HM Treasury and the Cabinet Office, unveiled the Government Construction Strategy 2016–2020 (the ‘ Strategy’). It set out how government intended to strengthen its role and capability as a construction client. This Practice Note examines a selection of the key information contained in the Strategy as released on 23 March 2016. It does not consider any developments occurring after that date or address later changes. Readers of the Strategy should note the Government Construction Pipeline and the National Infrastructure Pipeline (mentioned below) were subsequently updated and brought together as the National Infrastructure and Construction Pipeline, first issued on 5 December 2016......
ARCHIVED: This Practice Note has been archived and is not maintained. Last updated April 2016 The Government Construction Strategy (‘the Strategy’) was introduced in May 2011 to overhaul public sector construction procurement by championing efficiency, fostering innovation and stimulating growth across the industry. Its core objective was to cut the cost of government construction by 15–20% before the close of the parliamentary term, aligning with Infrastructure UK’s three‑year Infrastructure Cost Review programme. The government’s One Year On update, issued in July 2012, showed that applying the Strategy’s principles had already delivered savings within the year and reduced whole‑life project costs. On 23 March 2016, the Infrastructure and Projects Authority released the Government Construction Strategy 2016–2020, presented as a continuation of the achievements of the Government Construction Strategy 2011–2015. It recorded £3 billion in efficiency savings between 2011 and 2015. For further details on the...
The UK government released the Construction Playbook (‘the Playbook’) in December 2020, honouring the commitment in the National Infrastructure Strategy issued on 25 November 2020 (see News Analysis: The National Infrastructure Strategy—infrastructure commitments and planning reforms). The Playbook sets out the government’s policy, strategy and principal objectives for the procurement of public works and construction projects from 2020 onwards. For background on the earlier approach to construction, refer to Practice Note: Government Construction Strategy 2016–2020 [ Archived]. An updated edition appeared in September 2022, accompanied by standalone guidance on modern methods of construction, longer-term contracting programmes, advancing net zero carbon and sustainability, engagement with the market, suppliers and supply chains, and recommendations arising from a review of public sector construction frameworks. Purpose, aims and objectives of the Playbook The Playbook’s purpose is to describe how government will procure projects by...
Popular documents
When evaluating a general damages claim, the practitioner ought initially to refer to the Judicial College Guidelines (JCG)...
This Practice Note This Practice Note reviews mechanisms used in settling litigation. A Tomlin order consists of a consent order paired with a schedule. It operates to stay proceedings on terms that have been agreed. The provisions contained in the schedule may remain confidential. This Practice Note describes the scope of confidentiality attaching to the schedule and sets out how it differs from a standard consent order. Sample wording for a Tomlin order is included, alongside links to precedents, as well as guidance on court approval. It also addresses varying, setting aside and enforcing a Tomlin order, including the considerations the court will take into account when handling applications for each. Further guidance is provided on interpreting and applying the relevant provisions of the CPR; however, some courts and divisions impose very specific requirements for both drafting and approval, and for approaching the schedule and confidentiality issues. Accordingly, you must consider the particular rules and court guide provisions in the forum where your claim is proceeding when drawing up the Tomlin order...
Date [ date ] Parties [ name of Landlord ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Landlord) [ name of Tenant ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Tenant) [ [ name of Guarantor ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Guarantor) ] [ [ name of Mortgagee ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Mortgagee) ] Definitions Within this Deed, the terms below shall be interpreted as follows: [ Annual Rent • the annual sum reserved under the Lease; ] [ Insurance Rent • the Tenant’s share of the Landlord’s costs of insuring the Property (as set out in the Lease); ] Lease • the lease of the Property dated [ date ], entered into between (1) [ the Landlord OR [ name ...
I, [ name ], of [ address ], solemnly and sincerely state that: [ Matters to be verified, set out in numbered paragraphs ] I make this solemn statement in good conscience, believing it to be true, and pursuant to the provisions of the Statutory Declarations Act 1835. DECLARED at [ details ] this [ day ] day of [ month and year ] Before me ................................................................................ [ signature of the person before whom the declaration is made ] A [ commissioner for oaths OR [ solicitor OR [ insert other qualification ] ] authorised to administer oaths ]...
Discover more from LexisNexis
