HMRC Summary of Responses to the Advance Assurance Consultation
HMRC have published (20th March) a summary of responses to the Advance Assurance consultation. Unfortunately, at this stage there are no recommendations for action and HMRC will publish a full response late in the year.
It appears that HMRC will be focusing on reducing unnecessary demand, improving communications and guidance and introducing standard documents (particularly for small companies and fund managers).
Seemingly, the vast majority of responses were in favour of retaining the advance assurance system as well as a discrete service to sit alongside the advance assurance system so we await to see what, if any, action is taken in this respect.
Whilst it’s disappointing that HMRC are seemingly kicking the can down the road and not offering immediate positive action and solutions, it is pleasing that they have listened to and acknowledged EISA’s call for consistency of interpretation and for the introduction of standard documents which may help with fast tracking applications that don’t deviate from the standard.
EISA will of course continue to engage with HMRC in regards to advance assurance and we are acutely aware that many members are still experiencing delays and inconsistent approaches. We will be looking to bring forward HMRC’s response as early as possible.
The link to the full HMRC response can be found here – https://www.gov.uk/government/consultations/tax-advantaged-venture-capital-schemes-streamlining-the-advance-assurance-service
Director General – EIS Association