This week's opinion: 5 September 2019

A document with the less than catchy title Qualitative research on tax credits customers’ notification of changes to partner status is unlikely to get hearts racing. And I suspect that people who did read the title were unlikely to click through to the document itself: after all, only a few readers of this magazine will be involved in advising clients about tax credits.

However, there is much of interest in the document: not on the specific tax credit point itself perhaps, but on the wider issue of how HMRC frames its guidance. One respondent put it very neatly when shown a definition of a partner which included the phrase ‘sometimes living together’. They replied: ‘I’m not really sure what they mean by that. What does sometimes mean. How can you sometimes live with someone?’

Of course, no guidance can cover every situation and there is a tension between being comprehensive and being accessible. But this report reminds us of the importance of really thinking about how guidance is framed. We know HMRC is reviewing all of its guidance material. Our focus as tax professionals is, understandably, on the quality of the in-depth technical material, but we all have an interest in ensuring that basic guidance to taxpayers is well written and fit for purpose.

If you do one thing...

Cars are always an emotive topic with clients: never more so than where they argue that a business car is not available for private use. The decision of the First-tier Tribunal in Graham (TC7313) shows that although the burden is high it is sometimes possible to arrange matters so that cars are not deemed to be available privately.

The report (tinyurl.com/y49rjqrl) is worth reading for those advising owner managers.