BN66 - Time to fight back (Chapter 3)

[Toocan]

There is so much of this letter that is wrong.

I think one strategy would be to pick through each paragraph and point out the flaws in the argument. One in particular that annoys me is this:

Users of the scheme have deliberately tried to frustrate the will of Parliament, and they will have been aware that Parliament had closed down similar schemes 20 years ago with retrospective effect.

I had never heard of Padmore until BN66 was published. Had you?

[iansbud]

thanks to NW and TQ

i have been guilty myself of giving them a hard time in the past over timeliness of communication etc.. but for sure would like to express my thanks for their continued hard work and they will be in line for some real thanks when we eventually win this thing!

[scott_free]

Hi

Got my closure notice last week, been going through the figures and was surprised it was around £15K more than I expected - went onto the SA government gateway and notice they have applied a similar amount to my outstanding figures for 2007-2008 (unless I'm confused !)

The return hasn't even been submitted yet for that year, so how can this amount be on the amount due ? Is it something to do with paying on account, also to cover the amount due via a CTD do I still include this (I understand the interest can be excluded to stop it accruing)

Thanks for all the info here -btw

[Toocan]

Also interesting to note the significance of a MontP win at the JR. One of the biggest weapons Revenue have in their fight against "Loophole" tax planning is the FEAR of retrospective legislation. Even before BN66, the fear that this could happen drives a lot of people away from the aggressive schemes. The JR could go a long way to eliminating that fear, taking that weapon out of HMRC's arsenal and making the tax planning world a less scary place.

It would also encourage HMRC to check their work before sending bills to Parliament.

When the JR is won in our favour, HMRC will loose big time.

[BrilloPad]

There is so much of this letter that is wrong.

I think one strategy would be to pick through each paragraph and point out the flaws in the argument. One in particular that annoys me is this:



I had never heard of Padmore until BN66 was published. Had you?

Well I had! It was one of the advantages of having the trolls(Mal/Bradley/gooner) on here - they did provide some useful idea for what we might be up against.

In particular :-
http://forums.contractoruk.com/accou...ore#post525055

[Toocan]

Should we reply?

Perhaps we should construct a full reply to the letter that AlbionRovers received from his/her MP and each of us send it to our MP’s. They will be debating the pre-budget report Monday onwards so there may be a chance.

We’d have to emphasis the hardship this measure will cause and the fact that this arrangement was entered to achieve certainty from IR35. As a similar poster noted the other day there is only a small saving of tax vs fee’s between an efficient Ltd Co and a BN66 scheme.

The risk is that they (the MP's) don’t support us, but if they don’t then they won’t anyway.

Would we have to check this action with Montpellier?

It could be tagged into the “Brown’s government doesn’t support small business” argument.

What’da ya all think?

[BrilloPad]

Well I had! It was one of the advantages of having the trolls(Mal/Bradley/gooner) on here - they did provide some useful idea for what we might be up against.

In particular :-
http://forums.contractoruk.com/accou...ore#post525055

Talking of old friends - I wonder how BOK is?

http://forums.contractoruk.com/members/bernard.html

I know he left montp - but presumably want to see it win. I've got a website address for his new company - but no email - I might try to see if I can contact him to see if he has anything to add.

[DonkeyRhubarb]

Hi

Got my closure notice last week, been going through the figures and was surprised it was around £15K more than I expected - went onto the SA government gateway and notice they have applied a similar amount to my outstanding figures for 2007-2008 (unless I'm confused !)

The return hasn't even been submitted yet for that year, so how can this amount be on the amount due ? Is it something to do with paying on account, also to cover the amount due via a CTD do I still include this (I understand the interest can be excluded to still it accruing)

Thanks for all the info here -btw

If I understand you correctly, you had estimated your liability for tax years 2006/7 and before. But when you got the CN it was £15k more than you were expecting. When you checked on-line, the £15k was for this year. Have I got it right so far?

If so, it does indeed sound like they have estimated your liability for 2007/8 based on last years figures.

I'm not sure when interest would start accruing on this but I wouldn't be surprised if it's from the date the POA is due. Interest is charged for late payment, so if HMRC are arguing that you should have paid on account then the clock may have already started ticking.

Has anyone asked MP for a definitive position on 2007/8? It would be good to post something here as I'm sure this will come up again.

[scott_free]

If I understand you correctly, you had estimated your liability for tax years 2006/7 and before. But when you got the CN it was £15k more than you were expecting. When you checked on-line, the £15k was for this year. Have I got it right so far?

If so, it does indeed sound like they have estimated your liability for 2007/8 based on last years figures.

I'm not sure when interest would start accruing on this but I wouldn't be surprised if it's from the date the POA is due. Interest is charged for late payment, so if HMRC are arguing that you should have paid on account then the clock may have already started ticking.

Has anyone asked MP for a definitive position on 2007/8? It would be good to post something here as I'm sure this will come up again.

thanks, thats right - I really do think its for payment on account, and yes they seem to have applied interest to that too ! I've now gone back the estimates NW and TQ gave and they were bang on, excluding that due for 2007-2008

[BrilloPad]

If I understand you correctly, you had estimated your liability for tax years 2006/7 and before. But when you got the CN it was £15k more than you were expecting. When you checked on-line, the £15k was for this year. Have I got it right so far?

If so, it does indeed sound like they have estimated your liability for 2007/8 based on last years figures.

I'm not sure when interest would start accruing on this but I wouldn't be surprised if it's from the date the POA is due. Interest is charged for late payment, so if HMRC are arguing that you should have paid on account then the clock may have already started ticking.

Has anyone asked MP for a definitive position on 2007/8? It would be good to post something here as I'm sure this will come up again.

I have left them alone as they are bust with CNs, HMRC newsletters, Enquiry notices and tax returns for 07/08! At the moment I know I have an enquiry letter that NW/TQ have to process and my 07/08 return too. But no hurry - I am on the list.......