HMRC has launched a consultation on simplifying stamp taxes on share transactions. What are the proposed alternatives and how can you have your say on them?
HMRC is seeking views on its proposed changes to Stamp Duty and Stamp Duty Reserve Tax. Stamp Duty is currently charged on share transfers effected on paper, i.e. a stock transfer form. Whereas Stamp Duty Reserve Tax is charged on paperless transactions, which is more common. The intention is to modernise this area and reduce the administrative burden and inefficiencies for both taxpayers and HMRC. The consultation is focussed on the following:
- whether to have a single tax on securities rather than the current framework of both Stamp Duty and Stamp Duty Reserve Tax
- proposals for the assessment and administration of any new single tax on securities
- proposals for key elements of any new single tax on securities including liability, tax base, geographical scope, compliance regime and exemptions and reliefs
If you want to get involved, the consultation document can be found here and responses should be emailed to [email protected] by 22 June 2023.
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