Will Mann and Alex Haynes examine the reliance of tax disclosure sections on precedent
The three corporation tax acts now contain some 2 897 sections and yet there is not a single section giving guidance on the drafting of tax sections for prospectuses. Other legislation offers nothing the FSA are not forthcoming and HMRC are not interested.
In lieu of a prescribed checklist there is a tendency to rely heavily upon precedent updating for changes in law. This approach has advantages: if the precedent is good the possibility of a negligence claim diminishes there is the knowledge that if the FSA have approved this language before then it must be adequate and there is the minimisation of costs.
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Will Mann and Alex Haynes examine the reliance of tax disclosure sections on precedent
The three corporation tax acts now contain some 2 897 sections and yet there is not a single section giving guidance on the drafting of tax sections for prospectuses. Other legislation offers nothing the FSA are not forthcoming and HMRC are not interested.
In lieu of a prescribed checklist there is a tendency to rely heavily upon precedent updating for changes in law. This approach has advantages: if the precedent is good the possibility of a negligence claim diminishes there is the knowledge that if the FSA have approved this language before then it must be adequate and there is the minimisation of costs.
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
