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HMRC urged to standardise gift tax rules across all industries, including politicians

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HMRC must implement uniform gift tax regulations to ensure they apply equally to all taxpayers, including politicians, according to tax and advisory firm Blick Rothenberg.

Robert Salter, the company’s director, called for greater clarity and consistency in taxing gifts, noting that while media figures and social influencers are taxed on gifts, politicians often receive tax-deductible gifts.

Salter pointed out that gifts to politicians, which are sometimes job-related, are not treated as taxable income by HMRC, although similar gifts are taxable in other sectors. He stressed that despite the complexity of current laws, neither the givers nor the recipients are breaking any laws if the gifts are not declared as taxable income.

Salter believes that applying consistent rules across all industries would simplify the current system, which requires a case-by-case analysis. It was suggested that HMRC should introduce clear and uniform rules, while also considering setting a reasonable limit on the threshold (for example, gifts exceeding £1,000 in a tax year) to prevent small gifts giving rise to tax liabilities.


Jimmy Young

Jamie is an experienced business journalist and Senior Reporter at Business Matters, with over a decade of experience reporting on UK SME business. Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops to stay at the forefront of emerging trends. When Jamie is not reporting on the latest business developments, he is passionate about mentoring up-and-coming journalists and entrepreneurs, sharing their wealth of knowledge to inspire the next generation of business leaders.

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