• Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
  • Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

New Tax Avoidance Scheme - Utilising CGT & ER

Collapse
X
  •  
  • Filter
  • Time
  • Show
Clear All
new posts

    New Tax Avoidance Scheme - Utilising CGT & ER

    Capital Gains Tax: Entrepreneurs’ Relief tax avoidance scheme
    https://www.gov.uk/guidance/capital-...oidance-scheme

    ---------------------------------------------------
    <mod snip> If you want to read the full article, go to Accountingweb.

    http://www.accountingweb.co.uk/tax/b...me-highlighted
    Last edited by cojak; 19 September 2016, 08:34. Reason: removed copyright material

    #2
    Step 1: A taxpayer who owns a personal service company (PSC) in the UK sells that company to an organisation based in Cyprus

    I kinda stopped reading at that point

    Comment


      #3
      If HMRC are so convinced this is contrived then they should close down however is marketing the scheme and anyone(especially lawyers) who has advised them.

      They would rather spend no money, leave it several years, then bully anyone who has used the scheme.

      Comment


        #4
        Originally posted by BrilloPad View Post
        If HMRC are so convinced this is contrived then they should close down however is marketing the scheme and anyone(especially lawyers) who has advised them.

        They would rather spend no money, leave it several years, then bully anyone who has used the scheme.
        Oh, but at least they did "something" in this case - they made a nice small webpage to let people know that they actually don't like this type of scheme.

        For loan schemes it took them more then well over 10 years of schemes being in operation, and they only made similar webpage after they sent out most of the APNs, after most users were already long out, and most major schemes closed down (it was August or September last year, I believe).

        Comment


          #5
          Originally posted by BrilloPad View Post
          If HMRC are so convinced this is contrived then they should close down however is marketing the scheme and anyone(especially lawyers) who has advised them.

          They would rather spend no money, leave it several years, then bully anyone who has used the scheme.
          Solicitors aren't stupid. They will simply be doing an Anjem Choudary on them e.g. just staying the right side of the law.
          Last edited by SueEllen; 19 September 2016, 19:44.
          "You’re just a bad memory who doesn’t know when to go away" JR

          Comment


            #6
            Originally posted by ChimpMaster View Post
            Step 1: A taxpayer who owns a personal service company (PSC) in the UK sells that company to an organisation based in Cyprus

            I kinda stopped reading at that point
            You should have continued reading.... The bit where you claim Entrepreneurs relief every month is a classic and HMRC's attempt at understatement "HMRC considers this scheme to be highly contrived".

            No tulip, sherlock...
            merely at clientco for the entertainment

            Comment


              #7
              Originally posted by SueEllen View Post
              Solicitors aren't stupid. They will simply be doing an Anjem Choudary on them e.g. just staying the right side of the law.
              HMRC make the law. And can change it retrospectively. They have more powers than the police and can raid anyone at any time. They dont even have to prosecute. They can just make a solicitors life hell.

              HMRC like to prey on the softer targets though. Soon ALL "contractors" will be targets.

              Comment


                #8
                HMRC considers it a scheme. Do you need to know any more?

                If it's a scheme, the middleman gets away with it and the contractor gets shafted. You may as well ask for the lube when you sign up.
                The greatest trick the devil ever pulled was convincing the world that he didn't exist

                Comment


                  #9
                  Originally posted by LondonManc View Post
                  HMRC considers it a scheme. Do you need to know any more?

                  If it's a scheme, the middleman gets away with it and the contractor gets shafted. You may as well ask for the lube when you sign up.
                  Not everyone reads CUK. Life would be so much better if all contractors did.

                  Comment


                    #10
                    Originally posted by BrilloPad View Post
                    Not everyone reads CUK. Life would be so much better if all contractors did.
                    Not everyone takes advice, especially if they are naïve, greedy or just plain stupid - especially since 2008/9.

                    I used to contract in an IB a few years ago where dozens of contractors were using one scheme or another, for example Steed, as well as a host of others that have no doubt long since disappeared. A contractor who had been using a Ltd was tempted to join a very dodgy looking scheme (their website even had numerous spelling mistakes!) and this was around 2008 when the whole DOTAS thing was taking off.

                    I strongly advised her against this and explained why, but my warning was not heeded; she had already been blinded by the promise of 90% returns and the fact that 'everyone else was doing it'. I hate to think what has become of them all now.

                    Comment

                    Working...
                    X