19 September 2023

HMRC v BlueCrest Capital Management (UK) LLP

The Upper Tribunal has released its decision in HMRC v BlueCrest Capital Management (UK) LLP. This is the first case to consider the application of the salaried members legislation in sections 863A-G ITTOIA 2005.

The Tribunal was asked to consider the application of Conditions A (disguised salary) and B (significant influence) to members of an LLP carrying out investment management activities and providing back office services to other entities within the BlueCrest group. The Tribunal upheld the conclusions of the First-tier Tribunal: Condition A was met in relation to all members, but Condition B was only met for certain categories of members.

Richard Vallat KC, Laura Poots and Calypso Blaj appeared for HMRC.

To view the decision, click here.