BN66 - Time to fight back: Continued

[poppy01]

my stance is that I am waiting to see how the JR goes before borrowing a shed load of cash which I MIGHT then have to pay back with all the penalties and interest that goes with it. For the sake of a couple of months to at least see how the JR is progressing is it worth committing to big loans, after all a couple of months more interest on what you could owe isnt going to make that much difference is it? If you had the cash its a different situation...

I think the point might be that the option to borrow might not be available in two months. I myself cant borrow it now.

I'd borrow it while you have the chance, put it in ctd, sit tight

[BrilloPad]

"I MIGHT then have to pay back with all the penalties and interest that goes with it" - I thought it was just interest, penalties is a different ball game altogether isn't it ?

Well - back tax and interest - and, as you say, I thought it was already confirmed there will be no penalties. Let me just look back through the last 2000 posts......

If anyone can confirm - please put it on the bn66 news thread with a link to it from here!

[Ratican]

No Penalties

I spoke to Mr youknowwho () and he confirmed that there are indeed NO penalities.

[BrilloPad]

I spoke to Mr youknowwho () and he confirmed that there are indeed NO penalities.

Many thanks - I added a post to the news thread.

http://forums.contractoruk.com/accou...s-updates.html

In your shoes I would wait. In fact I am in your shoes and intend to wait! As said, if I had the money I would put into CTD. But at the moment I have a mortgage - I will not get a CTD until that paid off.

[Emigre]

Ratican

Not sure of the legitimacy (any thoughts out there?) but...

You are self-employed (on new scheme?). Charge loan to your business making interest tax deductible, also showing the credit interest as a business investment. If you can charge the loan, you can charge the set up fees too. This should level the playing field between borrowing gross and receiving net of tax, not forgetting of course to deposit at two separate institutions (less choice these days).

I see no reason why this should not work, your income is taxed under Sch D and not E and so you have a business. When a business is short of funds it borrows, when long it invests.

Anyone confirm this treatment?

Another idea would be to get on an aggressive tax scheme this year and put aside the tax saved...

[BrilloPad]

Another idea would be to get on an aggressive tax scheme this year and put aside the tax saved...

The digging yourself deeper to dig ones way out method?

[Ratican]

!Back to basics!

The digging yourself deeper to dig ones way out method?

Totally... I've had it with aggressive tax schemes (for a while anyway - let's see what happens).
I have set up Ltd company, got an accountant, may join PCG and take out some insurance (although my accountant tells me that IR35 insurance is generally a waste of time - because if your contract adheres to the strict rules in the fine print - it couldn't be inside IR35 and wouldn't get investigated). I have yet to look into this though.
I'm going to take a massive hit - like most people here - in terms of income and ease of admin - compared to what I've been used to for the past 5 or 6 years but it may just about help me sleep more soundly.
And when we beat HMRC I can rest... assured that I had a few good years!

[TheGaffer]

Montp say :-
========================================
Yes you are correct - Anyone who gets one should send the original (as it has the appeal form attached) to us and keep a copy themselves.

We then appeal on their behalf.

We send the appeals to HMRC. Under the circumstances and considering the volume of appeals we will be sending, if one did get lost in the post HMRC would be hard pressed to say we never sent it.
========================================

BrilloPad says :-
Why do I get the feeling that HMRC might just claim that anyway just as a mind-**** : it all adds to our instability.

It's good you have someone in MontP who gives you quick answers to your questions - if I email them I'm lucky if I get an answer within 2 weeks (or at all) and I haven't had a reply to any emails I have sent to their tax department since we all received our love letters from hector back in July.

Mind you, I suppose the fact that I had a row with Nat W about my tax return in January hasn't helped me much...

[redkieran]

[FONT=Calibri][SIZE=3]· House prices could go down in my area – although unlikelyOpinions very welcome!

Halifax futures are for a 25% fall in house prices by 2010. They are going to go down in every area...

[Ratican]

Halifax futures are for a 25% fall in house prices by 2010. They are going to go down in every area...

Well - reporting on house price trends is extremely flaky and normally meaningless. On the BBC site, "Average" (what ever that means) property prices in Camden are reported to have gone up by 34.1% in the last 12 months and up 13.1% in the last quarter.
House prices a few miles away in the City have gone down by 16.7% in the last 12 months and down 8.1% in the last quarter. What does it mean? In the Metro a few days ago it reported that house prices have gone up across the country by 1%. What does that mean?