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EBT HELL: Assignment Solutions Isle Of Man / Premier Tax Strategies / DMS

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    Originally posted by paul1315 View Post
    Got both now.

    Loan settlement opportunity arrived this morning including extortionate interest rates but only mentions 30th Sept as deadline for agreeing to it. That's a bit difficult when you get it after that date, and surprise, surprise HMRC aren't answering the phone. I see interest is charged to 30th October 2015.

    There's a few pages about IHT liability that serves to raise concerns about future liabilities which are not covered by the settlement opportunity and the letter advises contacting the loan trustees as IHT liability will be dependent on how the trust operates. I've sent them an email just now, but does anyway have any knowledge of this already?

    I'd consider settling purely to get rid of the stress factor even though part of me wants to fight it, but if there's still a potential IHT charge in future then I'm less inclined to do so.

    Thanks
    Ha! yeah a bit difficult to go back in time... Although HMRC have done just that with their retrospective nonsense!

    Common feeling for a lot of us here as well. If there were some sense of finality to it and also a reasonable point where we could agree on tax owed then I'm certain the acceptance rate would be very high.

    If you're considering fighting, Big Group is a good bet (Of which I am a member)

    WTT Consulting | Tax Enquiry Specialists | London

    Comment


      Originally posted by paul1315 View Post
      Got both now.

      Loan settlement opportunity arrived this morning including extortionate interest rates but only mentions 30th Sept as deadline for agreeing to it. That's a bit difficult when you get it after that date, and surprise, surprise HMRC aren't answering the phone. I see interest is charged to 30th October 2015.

      There's a few pages about IHT liability that serves to raise concerns about future liabilities which are not covered by the settlement opportunity and the letter advises contacting the loan trustees as IHT liability will be dependent on how the trust operates. I've sent them an email just now, but does anyway have any knowledge of this already?

      I'd consider settling purely to get rid of the stress factor even though part of me wants to fight it, but if there's still a potential IHT charge in future then I'm less inclined to do so.

      Thanks
      It's a "FINAL" settlement that says;

      1. here's our view of income tax liability, but a Judge has not said that is correct.
      2. We think but we're not sure IHT is due/not due AT THE MOMENT
      3. We think but we're not sure that NIC might not be due
      4. If the loans get written off or are unilaterally declared worthless, we may raise another charge
      5. If the trustee distributes assets/income to you, we'll probably raise a charge

      By the way if you sign and accept and then try to argue post 2011 schemes work, have you not already admitted that they don't?

      Most of the groups around this area argue that they can work to reduce HMRC's interpretation.

      For litigation groups that might be 100% reduction.

      For negotiation groups, that might be 100% or less or perhaps pushing liability into the future (thus no interest).

      Depending on who you believe, you might have a CLSO which is underestimated by HMRC and therefore gives you a discount. With a caveat that agreeing such a position if you have deliberately misled HMRC will result in the agreement potentially being withdrawn, then you might be tempted to accept.

      Be aware though that if HMRC has not included some years because they are closed, their ability to "reconsider" as they put it, is severely compromised and is nowhere near as easy as they try to make you believe.

      The biggest part of the equation for many is the stress factor. No professional can really measure that. In some cases, drawing a line and walking away is the least painful option and rather than face years of HMRC bullying and intimidation, paying now seems sensible.

      just be aware of what you're signing up for and in particular think about 2011/12 et seq.
      Last edited by webberg; 2 October 2015, 12:28. Reason: missing "not"
      Best Forum Adviser & Forum Personality of the Year 2018.

      (No, me neither).

      Comment


        Negotiated settlement

        Maybe I missed it somewhere in the thread, but have now learnt that a better settlement was agreed with Saleos which as I understand it would leave no future liability.
        It is supposed to include IHT for getting the loans written off.

        Got an email from HMRC yesterday with the settlement calculation / offer in it and a 2 week deadline to accept.
        Have called and emailed HMRC to ask for my settlement calculation to be based on these Saleos terms and also been given a fee from Optimus for writing off the loans.

        Has anyone else been down this route and gone ahead with it?

        Comment


          Originally posted by paul1315 View Post
          Maybe I missed it somewhere in the thread, but have now learnt that a better settlement was agreed with Saleos which as I understand it would leave no future liability.
          It is supposed to include IHT for getting the loans written off.

          Got an email from HMRC yesterday with the settlement calculation / offer in it and a 2 week deadline to accept.
          Have called and emailed HMRC to ask for my settlement calculation to be based on these Saleos terms and also been given a fee from Optimus for writing off the loans.

          Has anyone else been down this route and gone ahead with it?
          Hi Paul - Are Optimus the trustees for ASIOM loans? May I ask what the ball park figure was for the write offs? Was it a percentage of the loans or just a fixed amount?

          Comment


            Write off

            Yes they are the trustees.

            I don't know how the figure has been arrived at, but it's a round number so I'd suggest it's just a set fee rather than a percentage.

            Comment


              Originally posted by paul1315 View Post
              Yes they are the trustees.

              I don't know how the figure has been arrived at, but it's a round number so I'd suggest it's just a set fee rather than a percentage.
              Thanks. Not asking for the exact amount just trying to get a feel for the fees required. More than £1k?

              Comment


                Write off fee

                I suggest you contact them and ask what they would charge. It may be the same for everyone, or perhaps they adjust it based on the size of the loans; I really don't know.

                Comment


                  Hi Paul - wow, thanks for this update - so were you part of the Saleos group? How much better (I use that term loosely) was the second settlement offer - could you give me an approx %?

                  My original settlement calculation was about £9k (approx £2k of that was interest).

                  Maybe you could use my numbers as an illustration?

                  Thanks

                  Comment


                    2nd settlement

                    I am waiting for the 2nd figure.
                    It won't be better in the sense of costing less, rather it seeks to draw a line under the whole sorry saga rather than leaving things open for HMRC to come back years down the line and charge a fortune in IHT (unless they make up more retrospective laws).

                    Comment


                      Originally posted by paul1315 View Post
                      I am waiting for the 2nd figure.
                      It won't be better in the sense of costing less, rather it seeks to draw a line under the whole sorry saga rather than leaving things open for HMRC to come back years down the line and charge a fortune in IHT (unless they make up more retrospective laws).
                      Before taking any steps to write off loans, please join Big Group and drop Graham a line. BG are looking at all the options available for dealing with the loans in a more efficient way.

                      Comment

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