IFM08210 - Co-ownership Authorised Contractual Schemes (CoACS): Information requirements: Introduction

Prior to the rules introduced by section 41 of the Finance Act (No 2) 2017 and The Co-ownership Authorised Contractual Schemes (Tax) Regulations 2017 (SI 2017/1209), HMRC received no tax information from the operator of a CoACS as a CoACS is not required to submit a tax return.

The government decided to introduce specific legal requirements on the operator to provide certain information to investors and to HMRC. As a result, investors are to be notified of sufficient information to fulfil their tax obligations: usually including the amount of income that has accrued to them together with information relevant to calculating chargeable gains and claiming capital allowances. Also, the operator has to notify HMRC of the names and addresses of the investors in a CoACS together with the income per unit of each share class accruing to investors during an accounting period.

Pages IFM08220 to IFM08240 outline the rules contained in Part 2 of The Co-ownership Authorised Contractual Schemes (Tax) Regulations.