CTG Newsletter – 22 September 2017

Apprenticeships funding policy survey

The Department for Education (DfE) is running a short survey on how reforms to apprenticeship funding, including the Apprenticeship Levy, have affected employers and training providers. The aim of apprenticeship reforms is to continue to improve the quality of apprenticeships for all, providing the skills that employers need to reach the Government’s commitment of 3 million starts in England by 2020. Throughout this process, DfE has gathered feedback from employers, providers and their representative bodies. This survey offers a further opportunity to comment on apprenticeship funding policy and how it is working for you and your organisation. More information on how to respond can be found here.

CJEU judgments on EU VAT cost sharing exemption

The Court of Justice of the EU has published its judgments in a number of cases, which consider the operation of the VAT cost sharing exemption (CSE). The CJEU has held that the CSE can only be used by organisations which provide VAT exempt services listed in law as being in the ‘public interest’. While the CSE was only introduced into UK law in 2012 and it has not been extensively implemented in the UK, these judgments will have a significant impact in a number of large EU markets. Click here for more information on the decision, or click here to read CTG Technical Advisor Graham Elliott’s most recent commentary piece on the cases.

CTG Regional Meeting – Save the date!

CTG will be holding a regional meeting in Cardiff on 16 November 2017, in partnership with Deloitte. Full details and registration will be made available in due course, but make sure the date is in your diary.

FRC publishes draft amendments to FRS 102

The Financial Reporting Council (FRC) has published FRED 68, a set of draft amendments to FRS 102, regarding payments by trading subsidiaries to their charitable parents that qualify for gift aid. The amendments intend to clarify when profits from a non-charitable subsidiary can be distributed to the parent charity. This should improve the consistency of reporting between entities and the relevance of the information provided to users. Click here for more information.

VAT refunds extended to more museums

Amendments have been made to the Value Added Tax (Refund of Tax to Museums and Galleries) (Amendment) Order 2017, SI 2017/905, adding another 31 bodies – and their respective specified museums – to the list of bodies that are entitled to claim a refund of the VAT incurred on the provision of free admission to these museums and galleries. The changes also insert an additional specified museum in respect of two bodies already listed. The changes come into force on 1 November 2017.

Gift Aid and SMS – meeting with AIME

CTG’s Gift Aid practical issues working group will be holding a meeting on 3 October, at which Rory Maguire, Managing Director at the Association for Interactive Media & Entertainment (AIME), will be taking the opportunity to discuss the agreement that AIME has reached with HMRC in respect of Gift Aid audit trails for gifts via SMS. There are still a few spaces available for charities to sign up – contact us at info@charitytaxgroup.org.uk if you would be interested in attending.

CTG Newsletter Archive

Members can catch up on CTG’s recent newsletters using the links below:

• CTG Newsletter – 15 September 2017
• CTG Newsletter – 12 September 2017
• CTG Newsletter – 6 September 2017
• CTG Newsletter – 29 August 2017
• CTG Newsletter – 22 August 2017

CTG Commentaries

Read our expert commentary pieces and leave your comments and queries:

• Iberdrola VAT case – Implications for Sveda? (Dermot Rafferty)
• Is a CASC a Charity (for Tax Purposes)? (Graham Elliott)
• Charity VAT Recovery – The Road Not Taken (Graham Elliott)
• VAT recovery for holding companies – MVM case and HMRC guidance (Dermot Rafferty)
• Professional negligence and failed tax avoidance schemes (Sonia Ferreira)
• Definition of a ‘sport’ for VAT purposes – new AG opinion (Graham Elliott)
• Business rates valuations for museums (Colin Hunter)
• First experience of submitting a Common Reporting Standard (CRS) return (CTG)
• Construction of Relevant Charitable Purpose (RCP) buildings – position of sub-contractors (Les Howard)
• Supplies to local authorities – Healthwatch Hampshire VAT case (Graham Elliott)
• Brockenhurst College VAT case – implications for charities (Graham Elliott)
• Filing charity trading subsidiary tax returns and charity accounts (Justin Bevan)
• Adecco appeal on the VAT treatment of temporary workers dismissed (Graham Elliott)
• AG Opinions on the VAT cost-sharing exemption – implications for charities (Graham Elliott)
• Have you paid enough tax to cover your Gift Aid donations? (Kevin Russell)
• Off-payroll working: Major changes from April 2017 (Susan Ball)
• Update on “Economic Activity” and the fate of the Lord Fisher test (Graham Elliott)
• Durham Cathedral VAT case and Sveda – implications for charities (Graham Elliott)
• Hire fees for stalls at fairs – implications of the Kati Zombory-Moldovan case (Graham Elliott)
• Common Reporting Standard – Top 10 tips for charities (Alana Petraske)
• Charity Authorised Investment Fund (CAIF) launched (Grania Baird)
• Longridge on the Thames VAT case – implications for charities (Graham Elliott)
• Implications of Brexit for charity tax (John Hemming)
• Implications of the Hallé case for the philanthropic exemption (Graham Elliott)
• Helping you find your way – the new Charity Tax Group website (John Hemming)

Please contact us at info@charitytaxgroup.org.uk if you would be interested in contributing a commentary piece.

Website, newsletters and supporting CTG

Charity and Observer Members are reminded that their membership is on an organisational basis and that there is no limit of the number of subscribers to the website per organisation. If you think a colleague would benefit from getting access to the website and newsletters directly, please encourage them to register online at www.charitytaxgroup.org.uk/join-us/ selecting your organisation from the drop-down box.

CTG relies on donations from its charity members to fund the work it does on behalf of the sector. If your organisation has not yet made a contribution to our work in 2017, please consider doing so – further information and a donation form can be found here.