BN66 - Time to fight back: Continued

[ManureCreek]

oh please, come on girls pack it in will ya!! Admin can you shut down yet another thread as its playground time again!!!

I wonder how many of the new trolls are HMRC?

Well not that it means anything anyway, but I can confirm that I am neither new, a troll, or from HMRC.

How about you smalldog, do you work for HMRC?

[smalldog]

hehe, yep I work for HMRC of course as a contractor using the Montp scheme

Just out of curiosity I wonder if anyone working for HMRC as a contractor has been caught using the scheme??

[DonkeyRhubarb]

I would reckon that average most of us will "owe" is roughly £30K per year we were members of the scheme (apologies if this is a low estimate).
Given that HRMC interest rate is 2% or 3% above base rates doing nothing should only potentially cost £1K * number of years in the scheme * number of years a final judgement takes.

If by "doing nothing" you mean keeping the money in a savings account, then you do need to watch the tax. Even basic rate tax on savings makes a difference (6.5% gross = 5.2% net). But you are right, the difference is not huge.

For me the main reason for taking out a CTD was more psychological. It is bad enough stumping up X now and I didn't relish the prospect of having to potentially write out a cheque for X++ in a few years time.

[ManureCreek]

hehe, yep I work for HMRC of course as a contractor using the Montp scheme

Just out of curiosity I wonder if anyone working for HMRC as a contractor has been caught using the scheme??

I dont know, but respect to them if they have. Really.

[smalldog]

If by "doing nothing" you mean keeping the money in a savings account, then you do need to watch the tax. Even basic rate tax on savings makes a difference (6.5% gross = 5.2% net). But you are right, the difference is not huge.

For me the main reason for taking out a CTD was more psychological. It is bad enough stumping up X now and I didn't relish the prospect of having to potentially write out a cheque for X++ in a few years time.

dead jealous you obviously have the ability to pay, not quite the same for me!

[BrilloPad]

If by "doing nothing" you mean keeping the money in a savings account, then you do need to watch the tax. Even basic rate tax on savings makes a difference (6.5% gross = 5.2% net). But you are right, the difference is not huge.

For me the main reason for taking out a CTD was more psychological. It is bad enough stumping up X now and I didn't relish the prospect of having to potentially write out a cheque for X++ in a few years time.

the outcome is probably going to be 3 years away at minimum - I cant see either side accepting a verdict until it has gone all the way. taking £30,000 per year and (7.5%-5.2%)(CTD rate - savings rate)(not compounded of course) gives £690. So for someone in the scheme 6 years could mean an extra £12k.

I think a options trader would could it hedging - though it is hardly delta neutral!

[TAF4]

Mood assessment

It's a pity we have to wade through the personal attack stuff to get to the posts that add to the the knowledge base. For me this forum is about keeping abreast of events of options.
FWIW I am one of the very few that have so far admitted that they don't have a bean available to service a retrospective tax demand. I'm in for 3 years plus of exposure through the MP scheme which I joined because I was convinced that IR35 would get me sooner or later.
Running a Ltd Co. was a massive admin overhead too which had to be handled when I wasn't out there living out of a suitcase and earning a crust. I was glad to dump it.
That puts me in the 100k tax bill bracket with no way to address it. I wonder how many more are in the same boat and how Hector will implement the collection processes.

I have no option but to sit it out. Oh - and I'm in MP's new scheme too. After Dragonfly what else is there?

[Hawkwind]

If by "doing nothing" you mean keeping the money in a savings account, then you do need to watch the tax. Even basic rate tax on savings makes a difference (6.5% gross = 5.2% net). But you are right, the difference is not huge.

Offset Mortgage, ISA's and a few other obvious legal (currently!) methods make the best of the gross vs. net tax.

As for the paying X now as opposed to X++ later its more like lose house now or lose house ++ later so there is not much option.

I wonder if the poll results are a bit skewed into
1) smallish liability = ability to pay = CTD
2) ruinous liability = something else

[poppy01]

I've just heard second hand from someone who has been in contact with someone at MTM that the judicial review will be heard sometime in September?

Anyone know anything?

[nuffsaid]

I've just heard second hand from someone who has been in contact with NW at MTM that the judicial review will be heard sometime in September?

Anyone know anything?

Wow, that soon!
That's good... I think