SMEs have historically been exempted from UK transfer pricing rules. This year’s new rules have extended the rules to all UK businesses, including SMEs. What are the new rules, how do they work, and how we as North London Accountants can help SMEs prepare for them?
In recent years, there have been major changes to UK tax legislation to ensure that large international businesses cannot take advantage of differences between domestic and international tax rules. Amazon is an obvious example we’re all familiar with.
As part of HMRC’s ongoing efforts to close tax loop holes and ensure that taxpayers and businesses are declaring and paying the correct amount of tax, in April last year the government introduced new legislation governing anti-profit fragmentation.