BN66 - Time to fight back!!!

[Maddog]

A response at last !

After several failed attempts, I eventually got a response today from MontP on some burning questions. Reason my emails were ignored for 3 weeks was because “they are overloaded” - very professional! If this is how they manage their client queries I am starting to doubt their abilities to defend us in court.

This forum is very long so apologies if I am repeating info already posted but I obtain the following today:-

MontP meet with HMRC on 29th May and one of the outcomes was the trust accounts deadline has been extended to 1st Aug. I didn't get any other info as to what happened in the meeting.

At this time HMRC are likely to review all returns and send out tax notices to all stating what tax they believe is due. No timeline for this, but it is not expected to take more than 4 weeks (Montp's comment not mine).So expect a nice brown envelope end Aug.

At this point MontP will use their legal team to challenge the tax demands. As has been previously stated, other firms operating similar schemes will also be challenging on behalf of their clients.

MontP still say they are confident of winning. I was on Scheme 2002 – 2007 so they had better be. Just hope the Aussie embassy gets a move on with my Visa application !

[BrilloPad]

After several failed attempts, I eventually got a response today from MontP on some burning questions. Reason my emails were ignored for 3 weeks was because “they are overloaded” - very professional! If this is how they manage their client queries I am starting to doubt their abilities to defend us in court.

This forum is very long so apologies if I am repeating info already posted but I obtain the following today:-

MontP meet with HMRC on 29th May and one of the outcomes was the trust accounts deadline has been extended to 1st Aug. I didn't get any other info as to what happened in the meeting.

At this time HMRC are likely to review all returns and send out tax notices to all stating what tax they believe is due. No timeline for this, but it is not expected to take more than 4 weeks (Montp's comment not mine).So expect a nice brown envelope end Aug.

At this point MontP will use their legal team to challenge the tax demands. As has been previously stated, other firms operating similar schemes will also be challenging on behalf of their clients.

MontP still say they are confident of winning. I was on Scheme 2002 – 2007 so they had better be. Just hope the Aussie embassy gets a move on with my Visa application !

Personally I am pleased they are concentrating on the court stuff rather than keeping us updated! Though I think if they had an announcement part on their website it would be better. Anyone know anything about writing websites?

All the information above was in earlier posts.

One thing not covered above - there will be a seperate court case(judicial review). This is aimed at challenging bn66. The aim seems to be to get a case into court asap. So montpelier are fighting on both fronts.

[DonkeyRhubarb]

Property Developers?

I have just been going through the transcript of the treasury committee debate again and this caught my eye which I missed the first time.

http://www.publications.parliament.u...080522p-01.htm

HMRC is aware of more than 2,000 scheme users, and it involves tax of £50 million a year—a not insubstantial sum.

Looking back, the sum is around £200 million.

The numbers sound exactly right for the scheme, and it is now clear that Clause 55 was never anything to do with property developers, and it is so obviously targeted at MontP.

Helen Kenedy then goes on to say:

HMRC has learned that the large number of taxpayers who have been using the scheme has suddenly started to grow; I shall explain why in a moment.

She never did go on to explain, but I find this very surprising. Why would the numbers be growing when HMRC are crawling all over it? I would have expected the opposite and that the scheme would be going into rapid decline. As far as I can tell, there aren't many people on this forum who are still using it.

[smalldog]

Donkey, I think she was using that as an excuse for HMRC's lapse in acting on the scheme earlier. Its hardly a defense for HMRC not acting and would be easy to disprove in court if true.....Its blatantly not true otherwise she would have gone back to defend by providing some actual figures, she got away with that one...

[BrilloPad]

As far as I can tell, there aren't many people on this forum who are still using it.

I certainly am and I know a few who are still in.

[Maddog]

Scheme users

MontP advised me they were working through 1600 accounts for the 1st Aug deadline. That's a fair % of the 2000 number.

I do rememeber their initial sales pitch (well New Media's) advising they would keep the number of scheme uses to a low number, so as not to attract too much attention and increase the longevity of the scheme.

[BrilloPad]

Donkey, I think she was using that as an excuse for HMRC's lapse in acting on the scheme earlier. Its hardly a defense for HMRC not acting and would be easy to disprove in court if true.....Its blatantly not true otherwise she would have gone back to defend by providing some actual figures, she got away with that one...

They got away with alot more than the odd porkie! using a three line whip. It will be different in court. In the UK they can offer a few gongs to get the right decision - in Europe it will be different.

[ZATHARSE]

We formed a union about 10 years ago. You're welcome to join.


There is a conception in HMG that freelance IT workers are only working the way they do to avoid tax. We aren't, we are required to work that way because of extant legislation. We don't pay any more tax than absolutely necessary - why should we? - but we do pay what is legally required. What is more, some of us are working to get that position recognised, on behalf of the roughly 1.5 million small businesses affected by HMG's war on the freelance sector.

Aren't you a permy though?

[malvolio]

Aren't you a permy though?

Whatever gave you that idea?

[ZATHARSE]

Whatever gave you that idea?

IIRC you are on PAYE at your client/employer.