HMRC - His Majesty's Revenue and Customs. The UK tax authority.
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Guide to UK Tax Acronyms
Clear reference for clients and professionals.
Introduction
This guide provides a clear and practical overview of key UK tax acronyms. It is designed for clients and professionals working with specialist barristers in tax, partnership, and trust matters.
It focuses on commonly used terms in advisory work, compliance, and tax disputes.
Most Common Tax Acronyms
IT - Income Tax. Tax on individual earnings.
CT - Corporation Tax. Tax on company profits.
VAT - Value Added Tax. A consumption tax on goods and services.
CGT - Capital Gains Tax. Tax on gains from disposal of assets.
IHT - Inheritance Tax. Tax on estates and certain lifetime transfers.
PAYE - Pay As You Earn. System for collecting tax from employment income.
NICs - National Insurance Contributions. Social security contributions linked to earnings.
SDLT - Stamp Duty Land Tax. Tax on property transactions in England and Northern Ireland.
General and Administrative
UTR - Unique Taxpayer Reference. A 10-digit identifier issued by HMRC.
SA - Self Assessment. System for reporting personal and partnership income.
MTD - Making Tax Digital. Digital reporting framework for tax compliance.
P11D - Form used to report benefits in kind provided to employees.
RTI - Real Time Information. PAYE reporting system for employers.
Corporate and Business Tax
CIS - Construction Industry Scheme. Tax deduction regime for subcontractors.
IR35 - Off-payroll working rules governing employment status for tax purposes.
RDEC - R&D Expenditure Credit. Primary R&D tax relief regime.
ATED - Annual Tax on Enveloped Dwellings. Applies to high-value residential property held by companies.
AIA - Annual Investment Allowance. Capital allowance for qualifying expenditure.
WDA - Writing Down Allowance. Ongoing capital allowance on assets.
QIP - Quarterly Instalment Payments. Corporation Tax payments for large companies.
Wealth and Transactional Taxes
NRB - Nil-Rate Band. GBP 325,000 IHT threshold.
RNRB - Residence Nil-Rate Band. Additional IHT relief for main residence.
LBTT - Land and Buildings Transaction Tax. Scottish property tax.
LTT - Land Transaction Tax. Welsh property tax.
VAT
VATA 1994 - Value Added Tax Act 1994. Primary VAT legislation.
MTD for VAT - Digital reporting requirements for VAT-registered businesses.
OSS / IOSS - One Stop Shop / Import One Stop Shop. VAT regimes for cross-border sales.
Anti-Avoidance and Litigation
GAAR - General Anti-Abuse Rule. Targets abusive tax arrangements.
DOTAS - Disclosure of Tax Avoidance Schemes. Requires disclosure of certain tax arrangements.
APN - Accelerated Payment Notice. Requires upfront payment of disputed tax.
PPN - Partner Payment Notice. Applies APN regime to partnerships.
ADR - Alternative Dispute Resolution. Mediation process with HMRC.
FTT / UT - First-tier Tribunal / Upper Tribunal. Tax appeal courts.
TMA 1970 - Taxes Management Act 1970. Core procedural legislation.
FA - Finance Act. Annual tax legislation.
International Tax
BEPS - Base Erosion and Profit Shifting. Framework addressing profit shifting.
CRS - Common Reporting Standard. Automatic exchange of financial information.
DTT - Double Taxation Treaty. Agreement preventing double taxation.
CFC - Controlled Foreign Company rules. Anti-avoidance regime for offshore profits.
TP - Transfer Pricing. Rules governing intra-group transactions.
Trusts and Estates
TRS - Trust Registration Service. HMRC register for trusts.
PET - Potentially Exempt Transfer. Lifetime gift potentially exempt from IHT.
CLT - Chargeable Lifetime Transfer. Transfer subject to lifetime IHT charge.
10-Year Charge - Periodic IHT charge on certain trusts.
Expanded Notes on Key Terms
IR35
The off-payroll rules assess whether a contractor is effectively working as an employee for tax purposes. If IR35 applies, PAYE and NICs treatment is generally required.
GAAR
A statutory anti-abuse rule used to counter tax arrangements considered abusive, even where they may follow a literal reading of legislation.
DOTAS
A disclosure regime requiring certain promoters and users of tax arrangements to notify HMRC, helping early identification of potential avoidance schemes.
APN
A notice requiring payment of disputed tax before the final outcome of litigation in specified circumstances, including many DOTAS-related disputes.
FTT / UT
The First-tier Tribunal hears most tax appeals at first instance. Decisions can be appealed to the Upper Tribunal on points of law.
Final Note
This guide is intended as a practical reference. Tax law is complex and fact-specific. You should seek advice from a specialist barrister where required.