HMRC have released draft regulations which, if enacted, will bring some transactions that reduce the ATED within the DTAS regime.
Under the draft regulations, arrangements could be disclosed in the following circumstances:
Exclusions exist for transfers of chargeable interests from a company, partnership or CIS to a transferee where:
As drafted, the regulations will also potentially apply to arrangements that have been undertaken between 13 December 2012 and 30 September 2013. These will be disclosed at the end of November 2013.
Taxpayers who enter into arrangements that could be disclosed will need to notify HMRC of their use of the scheme by reporting the Scheme Reference Number either on the ATED return or by using a specially designed form. The form will have to be used if no ATED return is due within 30 days of the transaction. This is a departure from normal practice which allows taxpayers to put the reference number on their annual return and only requires separate notification if no annual return is due or the return will be late. As promoters would still need to notify HMRC of implementations via their quarterly client list submission this measure emphasises how keen HMRC are to have timely and full information about transactions that have an ATED advantage.