18/19 Tax return questions

[ladymuck]

It might be with pointing out he's been involved with a Pembroke scheme.....

https://www.contractoruk.com/forums/...sing-down.html

Ah. Well there's your problem!

[Old Greg]

It might be with pointing out he's been involved with a Pembroke scheme.....

https://www.contractoruk.com/forums/...sing-down.html

Basically an ISA?

[ladymuck]

Basically an ISA?

Yep. Just like an ISA.

[Lance]

And they wonder why there’s very little sympathy when it all turns to rattulip for them.

[zonkkk]

Have you used one or more tax avoidance schemes?
Yes
No
Do you need to disclose any income from disguised remuneration avoidance schemes? If you received any disguised remuneration loans between 6 April 1999 and 5 April 2019 and they have not been fully repaid or you still owe tax on an outstanding amount, select yes.

Did HMRC come back to you, to question your answer to this question?

[AnthonyB]

Yes, HMRC did come back and said they are happy for me to select no and elaborate on an attachment.

Yes, after nearly ten years in the Army and my first stint in contracting, surrounded by others used Pembroke I followed the well trodden route supported by a major City based consulting firm and advice from a 'choose an umbrella' type company on the web. No, I'm not looking for sympathy, neither am I looking for your views on morality, when the billionaires of this world start paying their tax and being held to account I might care a little bit more. There are a lot of grey areas in this, for one, the loan charge states it applies when a third party was involved, there was no third party involved in my loan.

All I'm interested to know is what I MUST pay by law. I won't lose any sleep knowing that HMRC don't like it and might try and close it, I just want to pay what I legally must and move on. Stating that I have used a 'scheme' or whatever other terminology they want to use would require some pretty substantial legal understanding. In fact, when I asked a tax advisor for a view on this I was told it would cost ~£1800 to investigate the issue so it's obviously not that clear cut.

My undesrstanding is the scheme I used doesn't smell right, it's probably not morally proper and probably should be closed going forwards but under the current loan charge legislation it is not in scope as there is no third party. If HMRC tell me different and tell me to pay then I'll consider then whether I fight in court (probably not) or whether I shut up and pay up (probably that). But I'm not going to volunteer myself for sacrifice, also, I need some time to save up...

[zonkkk]

Did you initially answer Yes or No?
Which answer is HMRC questioning?

If you said Yes and they asked you - how come - fair enough. If you answered No and they queried it, they must know something they're not saying.

[Lance]

Yes, HMRC did come back and said they are happy for me to select no and elaborate on an attachment.

Yes, after nearly ten years in the Army and my first stint in contracting, surrounded by others used Pembroke I followed the well trodden route supported by a major City based consulting firm and advice from a 'choose an umbrella' type company on the web. No, I'm not looking for sympathy, neither am I looking for your views on morality, when the billionaires of this world start paying their tax and being held to account I might care a little bit more. There are a lot of grey areas in this, for one, the loan charge states it applies when a third party was involved, there was no third party involved in my loan.

All I'm interested to know is what I MUST pay by law. I won't lose any sleep knowing that HMRC don't like it and might try and close it, I just want to pay what I legally must and move on. Stating that I have used a 'scheme' or whatever other terminology they want to use would require some pretty substantial legal understanding. In fact, when I asked a tax advisor for a view on this I was told it would cost ~£1800 to investigate the issue so it's obviously not that clear cut.

My undesrstanding is the scheme I used doesn't smell right, it's probably not morally proper and probably should be closed going forwards but under the current loan charge legislation it is not in scope as there is no third party. If HMRC tell me different and tell me to pay then I'll consider then whether I fight in court (probably not) or whether I shut up and pay up (probably that). But I'm not going to volunteer myself for sacrifice, also, I need some time to save up...

There’s a specific forum on this site for HMRC scheme enquiries. Have a look there for more specific answers..
There are some professional advisers who will get you started with some advice, in public, for free.

[AnthonyB]

Not looking for help on a scheme, I just find it interesting and wondered if anyone else had any issues with this or views on it?

As I say, HMRC have previously given their answer on those things in court and have been told they are wrong and so have some pretty good tax advisors. It just seems a bit silly to be asking such specific questions of someone completing their tax return that requires the individuals to know and be able to understand legislation, case law and make a legal decision. Quite a stretch I would imagine for most people, let alone Barry with less than 5 GCSEs who now runs his own rubbish removal van... I just thought it was a bit silly really.

[Lance]

Not looking for help on a scheme,

OK if you say so.

I just find it interesting and wondered if anyone else had any issues with this or views on it?

Lot's of people. But they all think it's a scheme.... https://www.contractoruk.com/forums/...ml#post2690806
Including their liquidator.

I'm struggling to understand exactly what you want. You've been following this for 6 months already.
And I really don't know what you think you'll get from this forum when the scheme forum couldn't help you any further..... https://www.contractoruk.com/forums/...ml#post2736463