The proposed advisory panel presents practical and constitutional problems, believes Morgan James
As leader of the interim GAAR advisory panel Graham Aaronson QC is being given enormous influence over deciding what tax planning will be prevented by the GAAR. As Mr Aaronson himself recommended this is something that parliament should be doing.
Although it is billed as a protection for taxpayers the proposed GAAR advisory panel presents real practical and constitutional problems not least in relation to its role in approving guidance which the courts will be required to take into account when applying the GAAR.
The inherently unpredictable nature of the central ‘double reasonableness’ test means that the proper functioning of the GAAR will depend upon this guidance which will have quasi-statutory status. Power to determine what is and is not caught by the GAAR or at least to influence it strongly...
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:
Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this article in full.
Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.
Home >Articles > GAAR guidance should be approved by parliament
GAAR guidance should be approved by parliament
The proposed advisory panel presents practical and constitutional problems, believes Morgan James
As leader of the interim GAAR advisory panel Graham Aaronson QC is being given enormous influence over deciding what tax planning will be prevented by the GAAR. As Mr Aaronson himself recommended this is something that parliament should be doing.
Although it is billed as a protection for taxpayers the proposed GAAR advisory panel presents real practical and constitutional problems not least in relation to its role in approving guidance which the courts will be required to take into account when applying the GAAR.
The inherently unpredictable nature of the central ‘double reasonableness’ test means that the proper functioning of the GAAR will depend upon this guidance which will have quasi-statutory status. Power to determine what is and is not caught by the GAAR or at least to influence it strongly...
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:
.jpg?sfvrsn=335a554c_0 "300 x 250 (MPU)")