Qualifying Asset Holding Companies (QAHCs) - screening equality impact assessment
Published 6 April 2022
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Project objectives
This Equality Impact Assessment related to the operational delivery of the Qualifying Asset Holding Companies (QAHCs) regime.
Background to policy
Finance Act 2022 introduces a new regime for the taxation of QAHCs and certain payments that QAHCs may make.
A QAHC must be at least 70% owned by diversely owned funds, or certain institutional investors, and mainly carry out investment activity.
QAHCs facilitate the flow of capital, income and gains between investors and underlying investments, so that investors are taxed broadly as if they invested in the underlying assets and the QAHC pays no more tax than is proportionate to the activities it performs.
Phase 1 changes
To ensure the regime rules are followed correctly and to provide support for QAHC customers, dedicated communication channels have been created, including:
- a HMRC QAHC team to answer general QAHC related queries
- an online form to allow QAHC customers to make required notifications to HMRC
Customer groups affected
QAHCs that meet certain criteria and are used in a range of collective and institutional investment structures to hold investment assets, and the investment funds, institutions, individuals and other entities that invest in those structures.
What customers will need to do
What customers need to do as a result of the change
QAHCs are required to make a notification to HMRC. There are a number of occasions when they will be required to do this.
How customers will access this service
HMRC has published an online form on GOV.UK, which customers must use to complete the notifications.
When customers need to do this
There are different deadlines for making different types of notifications. HMRC has published guidance within the Investment Funds Manual and on GOV.UK which provide further details.
Assessing the impact
We assessed the equality impacts on all the protected characteristic groups in line with the Equality Act and Public Sector Equality Duty, and Section 75 of the Northern Ireland Act: racial groups, disabled, sex, gender reassignment, sexual orientation, age, religion or belief, pregnancy and maternity, marriage and civil partnership, people with dependents and those without, political opinion (for Northern Ireland only).
There is no evidence to suggest any specific impacts on those customers within any of the protected characteristic groups listed above. The online form is available in accessible formats and online guidance will be available. Extra support will be provided as required through regular business channels.
People who use different languages (including Welsh language and British Sign Language)
Impact on customers
HMRC is obliged to provide Welsh language versions of documents, publications and services.
Proposed mitigation
The project will offer a Welsh language service to customers, where proportionate, in line with HMRC protocol.
Opportunities to promote equalities
We have considered opportunities to promote equalities and good relations between people in each of the protected characteristic groups and those outside of that group.
None have been identified.
A full equality impact assessment is not recommended.