Tuesday, July 17, 2007

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There is plenty of speculation abroad about what Gordon Brown will do when he unveils what is expected to be his last Budget on Wednesday. High on most people's lists is an attack on dodges and "loopholes" used by people to reduce their tax bills. Few taxes are more emotive at the moment than inheritance tax (IHT), but Paula Tallon, head of direct tax at Chiltern, the tax specialist, thinks that may not prevent the noose being tightened by the Chancellor. She says a lot more people are using an investment in shares on the Alternative Investment Market (AIM) as a shelter for inheritance tax. AIM shares are regarded as unquoted investments so, if they meet certain requirements, they will qualify for so-called "business property relief" which, amongst other things, means you don't have to pay IHT if you hold them for at least two years. These shares are being packaged up by stockbrokers pilates books nd other advisers specifically as vehicles to ameliorate an IHT liability on their clients' estates. "Because more and more people are using these AIM portfolios as inheritance tax shelters - so instead of having £500,000 in cash in your estate, you have £500,000 in these shares - and because the Customs & Revenue doesn't like the package idea, they may clamp down on it," she says. Richard Allen of Allenbridge, a specialist tax shelter adviser, confirms that the number of managers of AIM portfolios has jumped from two or three to well in excess of 10 over the last couple of years.

There is plenty of speculation abroad about what Gordon Brown will do when he unveils what is expected to be his last Budget on Wednesday. High on most people's lists is an attack on dodges and "loopholes" used by people to reduce their tax bills. Few taxes are more emotive at the moment than inheritance tax (IHT), but Paula Tallon, head of direct tax at Chiltern, the tax specialist, thinks that may not prevent the noose being tightened by the Chancellor. She says a lot more people are using an investment in shares on the Alternative Investment Market (AIM) as a shelter for inheritance tax. AIM shares are regarded as unquoted investments so, if they meet certain requirements, they will qualify for so-called "business property relief" which, amongst other things, means you don't have to pay IHT if you hold them for at least two years. These shares are being packaged up by stockbrokers and other advisers specifically as vehicles to ameliorate an IHT liability on their clients' estates. "Because more and more people are using these AIM portfolios as inheritance tax shelters - so instead of having £500,000 in cash in your estate, you have £500,000 in these shares - and because the Customs & Revenue doesn't like the package idea, they may clamp down on it," she says. Richard Allen of Allenbridge, a specialist tax shelter adviser, confirms that the number of managers of AIM portfolios has jumped from two or three to well in excess pc to phone call f 10 over the last couple of years.

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There is plenty of speculation abroad about what Gordon Brown will do when he unveils what is expected to be his last Budget on Wednesday. High on most people's lists is an attack on dodges and "loopholes" used by people to reduce their tax bills. Few taxes are more emotive at the moment than inheritance tax (IHT), but Paula Tallon, head of direct tax at Chiltern, the tax specialist, thinks that may not prevent the noose being tightened by the Chancellor. She says a lot more people are using an investment in shares on the Alternative Investment Market (AIM) as a shelter for inheritance tax. AIM shares are regarded as unquoted find business name by address nvestments so, if they meet certain requirements, they will qualify for so-called "business property relief" which, amongst other things, means you don't have to pay IHT if you hold them for at least two years. These shares are being packaged up by stockbrokers and other advisers specifically as vehicles to ameliorate an IHT liability on their clients' estates. "Because more and more people are using these AIM portfolios as inheritance tax shelters - so instead of having £500,000 in cash in your estate, you have £500,000 in these shares - and because the Customs & Revenue doesn't like the package idea, they may clamp down on it," she says. Richard Allen of Allenbridge, a specialist tax shelter adviser, confirms that the number of managers of AIM portfolios has jumped from two or three to well in excess of 10 over the last couple of years.

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EXCLUSIVE: Informed sources tell Hypebot that talks between new trade qualified leads rganization Merlin and YouTube over payments to independent labels for music used on the site have broken down and legal action by some labels is imminent. Cease and desist orders and lists of videos and songs are being prepared for filing with the courts. UPDATE: Some indie labels delivered cease and desist orders to YouTube on Friday and others will hit early this week. No reaction yet from YouTube. It was only a week ago that a group of larger indies including Rough Trade, Beggars Group, Tommy Boy, Ministry Of Sound, Epitaph, and Cooking Vinyl joined forces to form Merlin, a trade group designed to enhance indie negotiating power with new media and technology companies. Too often the major label groups had been able to get better deals with the likes of YouTube and Zune and sometimes indies have been left out of the equation all together. So Merlin's mission is to end this "copyright apartheid" and a deal with SnoCap was quickly announced. But negotiations with the mighty YouTube did not go as well and some Merlin member labels are fighting back. COMMENTARY: Finding balance between valuable free for promotion and monetizing artistic output has not gotten any easier in 2007. YouTube has become a primary source of viral music promotion in recent months. So it's not easy to see why indie labels - who often struggle for attention alongside the majors - would shut off this hugely effective promo fountain.

EXCLUSIVE: Informed sources tell Hypebot that talks between new trade organization Merlin and YouTube over payments to independent labels for music used on the site have broken back packs own and legal action by some labels is imminent. Cease and desist orders and lists of videos and songs are being prepared for filing with the courts. UPDATE: Some indie labels delivered cease and desist orders to YouTube on Friday and others will hit early this week. No reaction yet from YouTube. It was only a week ago that a group of larger indies including Rough Trade, Beggars Group, Tommy Boy, Ministry Of Sound, Epitaph, and Cooking Vinyl joined forces to form Merlin, a trade group designed to enhance indie negotiating power with new media and technology companies. Too often the major label groups had been able to get better deals with the likes of YouTube and Zune and sometimes indies have been left out of the equation all together. So Merlin's mission is to end this "copyright apartheid" and a deal with SnoCap was quickly announced. But negotiations with the mighty YouTube did not go as well and some Merlin member labels are fighting back. COMMENTARY: Finding balance between valuable free for promotion and monetizing artistic output has not gotten any easier in 2007. YouTube has become a primary source of viral music promotion in recent months. So it's not easy to see why indie labels - who often struggle for attention alongside the majors - would shut off this hugely effective promo fountain.

EXCLUSIVE: Informed sources tell Hypebot that talks between new trade organization Merlin and YouTube over payments bank account search o independent labels for music used on the site have broken down and legal action by some labels is imminent. Cease and desist orders and lists of videos and songs are being prepared for filing with the courts. UPDATE: Some indie labels delivered cease and desist orders to YouTube on Friday and others will hit early this week. No reaction yet from YouTube. It was only a week ago that a group of larger indies including Rough Trade, Beggars Group, Tommy Boy, Ministry Of Sound, Epitaph, and Cooking Vinyl joined forces to form Merlin, a trade group designed to enhance indie negotiating power with new media and technology companies. Too often the major label groups had been able to get better deals with the likes of YouTube and Zune and sometimes indies have been left out of the equation all together. So Merlin's mission is to end this "copyright apartheid" and a deal with SnoCap was quickly announced. But negotiations with the mighty YouTube did not go as well and some Merlin member labels are fighting back. COMMENTARY: Finding balance between valuable free for promotion and monetizing artistic output has not gotten any easier in 2007. YouTube has become a primary source of viral music promotion in recent months. So it's not easy to see why indie labels - who often struggle for attention alongside the majors - would shut off this hugely effective promo fountain.

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