News that the firm behind a defeated tax scheme used by pop stars is threatening to sue the national firm of accountants who acted for the firm at the Tax Tribunal. Quite what a possible claim would be for I am not clear about. But fall-out happens when a tax scheme goes wrong. What strikes me is that so many tax schemes marketed by companies seem to be based on wishing things were a certain way rather than reality. Looking first at what the client actually does and applying tax law to that is for me as a tax barrister a reality-based approach, and one the Tax Tribunal takes. The problem with lots of tax schemes marketed by companies is they start from the other end, by looking for an edge in tax law and then trying to back-fit reality to suit.
Tax Barrister, Accountant