I am absolutely certain that this distinction will get lost:
Last night, HMRC confirmed the arrests: “As a result of an on going HMRC investigation into tax-related criminal offences, HMRC has arrested a number of people, some of whom work for UK banks. This investigation relates to the actions of the people arrested in relation to their own financial affairs and is not connected to the business activities of the banks.”
The suspicion is that people who work for RBS have been, with their own money not the bank\’s, playing silly buggers with the tax breaks available for investment in films.
I\’m also going to be fascinated with the outcome of this case. The rules on what you may legally write off against tax in terms of film investment are so lax that it\’s difficult to conceive of it ever moving from tax compliance (which as we know, is using the tax code in exactly the manner which Parliament intends, ie, investing in films) to tax evasion. Given what you can do legally where is the room for there to be anything illegal?