No To Retro Tax - Ongoing battle against S58 FA2008

[bananarepublic]

and we have been criticised before for not taking decisive legal action which went against us in the JR. So lets get the wagons rolling!!

If litigation is in progress it makes retrospective legislation more difficult, I guess because it would be seen as subverting the courts.

When S58 was passed the government could deny that litigation was in progress because they'd dropped our FTTT cases earlier. This was asked in the committee stage.

Mind you can't see them trying the retrospection angle again.

[DonkeyRhubarb]

I take your point.

What would I do? Look to settle as they did with George.

Settling with one guy, for a few grand, on the QT is one thing.

Settling with several hundred would take a lot more explaining.

[elpinar]

The additional Class 4 NIC is just under 5%.

The accrued interest is the real killer though.

2001/2 - 64%
2002/3 - 57%
2003/4 - 51%
2004/5 - 44%
2005/6 - 37%
2006/7 - 30%
2007/8 - 22%

and sorry - but what date is interst from ?

is it jan 31 when the tax return was due of later

so take 04/05 - tax return due jan 31 06 (I think) and when would the tax be due ? just think someone in hte CTD office may have told me a few porkies earlier ... like interst accures for jan 1 ... so according to her interest was for 4/5 woudl satrt on Jna 1 06

[elpinar]

Settling with one guy, for a few grand, on the QT is one thing.

Settling with several hundred would take a lot more explaining.

they will not settle ... of that i have been very very very assured. Would not even go for - if i pay the apn now can we call it quits (so no inters/ni etc) nada .... dont waste your time

[helen7]

Out of curiosity, what was George's liability?

[bananarepublic]

and sorry - but what date is interst from ?

is it jan 31 when the tax return was due of later

so take 04/05 - tax return due jan 31 06 (I think) and when would the tax be due ? just think someone in hte CTD office may have told me a few porkies earlier ... like interst accures for jan 1 ... so according to her interest was for 4/5 woudl satrt on Jna 1 06

Depends on your exact circumstances, in particular what you owed in previous years. In my first year on the scheme 01/02 the tax was due 31 Jan 2003. For the next year 50% of this amount was due 31 Jan 2003 and the rest 31 July 2003, with a balancing payment for any excess over this for what I earnt in 02/03 payable 31 Jan 2004. And I would also have to make a payment on account at this point for the 03/04 year.

So to answer you question it depends!! However, if you assume that 50% of your 04/05 liability was due 31 Jan 2005 and the rest 31 July 2005 you will not end up under estimating the interest. That is the tax may have been due prior to 31 Jan 2006.

[DonkeyRhubarb]

Depends on your exact circumstances, in particular what you owed in previous years. In my first year on the scheme 01/02 the tax was due 31 Jan 2003. For the next year 50% of this amount was due 31 Jan 2003 and the rest 31 July 2003, with a balancing payment for any excess over this for what I earnt in 02/03 payable 31 Jan 2004. And I would also have to make a payment on account at this point for the 03/04 year.

So to answer you question it depends!! However, if you assume that 50% of your 04/05 liability was due 31 Jan 2005 and the rest 31 July 2005 you will not end up overestimating the interest. That is the tax may have been due prior to 31 Jan 2006.

With the figures I gave above I've attempted to take this into account. I don't guarantee that they are 100% spot on but they are near enough.

[elpinar]

Depends on your exact circumstances, in particular what you owed in previous years. In my first year on the scheme 01/02 the tax was due 31 Jan 2003. For the next year 50% of this amount was due 31 Jan 2003 and the rest 31 July 2003, with a balancing payment for any excess over this for what I earnt in 02/03 payable 31 Jan 2004. And I would also have to make a payment on account at this point for the 03/04 year.

So to answer you question it depends!! However, if you assume that 50% of your 04/05 liability was due 31 Jan 2005 and the rest 31 July 2005 you will not end up under estimating the interest. That is the tax may have been due prior to 31 Jan 2006.

Really so you owed the tax before you earn the money !!!!! yuo have ot pay interst on money before you got it - please dont scare me

[MishiMoo]

The additional Class 4 NIC is just under 5%.

The accrued interest is the real killer though.

2001/2 - 64%
2002/3 - 57%
2003/4 - 51%
2004/5 - 44%
2005/6 - 37%
2006/7 - 30%
2007/8 - 22%

An APN excludes interest, right? So if you can pay the APN now, but only just, but you can't possibly pay all the interest / penalties as well should they eventually "win", and you would then have to go bankrupt, what on earth is the point of paying the APN now? You may as well tootle off to Vegas and put it all on black!

[elpinar]

With the figures I gave above I've attempted to take this into account. I don't guarantee that they are 100% spot on but they are near enough.

thinkg is im trying to work it out with CTD dates thrown in the pot