HMRC should implement standardised tax regulations for gifts to ensure they apply equally to all taxpayers, including politicians, according to tax and advisory firm Blick Rothenberg.
Robert Salter, a Director at the firm, has called for greater clarity and consistency in gift taxation, noting that while media personalities and social influencers are taxed on gifts, politicians often receive gifts tax-free.
Salter pointed out that gifts given to politicians, sometimes job-related, are not treated as taxable income by HMRC, despite similar gifts being subject to tax in other sectors. He emphasised that while current laws are complex, neither donors nor recipients are breaking any laws if gifts are not declared as taxable income.
Salter argues that applying consistent rules across all industries would simplify the current system, which requires case-by-case analysis. He proposed that HMRC should introduce clear, standardised rules, while also considering a sensible de minimis threshold (e.g., gifts exceeding £1,000 in a tax year) to prevent minor gifts from triggering tax liabilities.
Jamie Young
Jamie is a seasoned business journalist and Senior Reporter at Business Matters, bringing over a decade of experience in UK SME business reporting.
Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops to stay at the forefront of emerging trends.
When not reporting on the latest business developments, Jamie is passionate about mentoring up-and-coming journalists and entrepreneurs, sharing their wealth of knowledge to inspire the next generation of business leaders.
