The stuff you need to know about loan schemes......

[PhilBreeze]

For any one who's interested - the new Tax Avoidance Schemes (information) Regulations 2012 http://www.legislation.gov.uk/uksi/2...0121836_en.pdf Coming into effect next month

Translation please!

Basically - "we have re-written the rules so cough up"

Hmmm. The new regulations quoted by Lisa are simply an exercise in tidying up the tax regulations. They repeal all existing regulations on the Disclosure of Tax Avoidance Schemes (DOTAS) regime and replace them with a single document. I don't think there are any new provisions, so hardly "rewriting the rules".

See HM Revenue & Customs: What's New under 23 August for HMRC's own description.

[LisaContractorUmbrella]

For properly administered EBTs, any loans from the EBT before 9th December 2010 should remain untaxable. The recent decision of the Tribunal in the Rangers appeal supports this view.

If you continued to receive loans from the EBT after 9th December 2010 they may be taxable under the legislation which was brought in to tax EBT payments. However this legislation does not have any effect prior to 9th December 2010.

As previously stated with any such correspondence from HMRC you should take professional advice, if possible from the provider of the scheme you were in at the time. Even if the loans are not in principle taxable, answering HMRC's letter inaccurately could cost you a lot in time and effort.

As I understand it the verdict in the Rangers case was not unanimous and will be appealed by HMR&C - is that the case?

[PhilBreeze]

As I understand it the verdict in the Rangers case was not unanimous and will be appealed by HMR&C - is that the case?

The verdict was 2-1 in favour of the taxpayer, with Dr Poon's dissenting decision focusing more on discrepancies within the testimony of witnesses with a view to applying the Ramsay principle, than any attack on the validity of the trusts or loans themselves. Indeed HMRC were in agreement that the trusts and loans were not "shams".

HMRC yet to annouce whether they intend to appeal - however the decision in of itself should give some comfort to people who are receiving these aggressive and misleading letters from the Revenue. If HMRC appeal and win, it will be because the scheme was not administered correctly, not because all pre December 2010 EBTs are somehow now taxable.

[prozak]

The verdict was 2-1 in favour of the taxpayer, with Dr Poon's dissenting verdict focusing more on discrepancies within the testimony of witnesses with a view to applying the Ramsay principle, than any attack on the validity of the trusts or loans themselves. Indeed HMRC were in agreement that the trusts and loans were not "shams".

HMRC yet to annouce whether they intend to appeal - however the decision in of itself should give some comfort to people who are receiving these aggressive and misleading letters from the Revenue. If HMRC appeal and win it will be because the scheme was not administered correctly, not because all EBTs are somehow now taxable.

Hi Phil,

you haven't answered a question of mine which I ask all providers.

Please provide a breakdown of the revenue allocation.

This is not IP so should be readily available. Unless there is something to hide?

[prozak]

Hi Phil,

you haven't answered a question of mine which I ask all providers.

Please provide a breakdown of the revenue allocation.

This is not IP so should be readily available. Unless there is something to hide?

Now there's a surprise.

Phil posted three minutes before my above question and was active on the boards.
Even came back at 17:41 to edit his previous post.

But nothing on answering any direct questions about their "risk free" scheme.

Can someone explain to me why we Offshore Providers are even allowed on these boards?

Unlike accountants - who help by answering accounting and legal questions even for non-clients - these chaps are just here to fish.

I guess the only benefit is at least we know who they are... Otherwise I am sure they wouldn't be above creating sockpuppets.

[Safe]

Help me please!

Hi Geoff,

I was reading all of these conversations regarding to loan and would like to ask you a question;
I've received a letter from HMRC couple of weeks ago regarding of me using Sanzar Solution in 2010-2011 tax year and asking how much loan have I been paid and if I have repaid any.
What will be your recommendation regarding to this as I need to respond to HMRC. Having said that Sanzar has closed their website and I'm not the only one stuck in this mess.

Thanks,

Safe

Sorry Lisa but you have demonstrated numerous times that really have no real understanding of how these schemes work or the legislation that applies to the various stage of the process.
Perhaps you should leave discussions on them to people who do ?

Or perhaps you would like to ask me some technical legal questions which I will be happy to answer ? I suspect it may get a little embarassing for you though.

[PhilBreeze]

Now there's a surprise.

Phil posted three minutes before my above question and was active on the boards.
Even came back at 17:41 to edit his previous post.

Hi prozak ! Forgive me if I didn't feel compelled to answer your question within minutes of you asking it

Given posts like the following:

Context is also relevent no?

That post is in a thread I started as a little bit of fun against "Umbrella Providers" agenda.

Your MO on this board seems to be to wind up or "troll" certain individuals, an activity which I refuse to get drawn into, and is quite possibly against the T's & C's of the forum.

Regardless, I won't be disclosing confidential & commercially sensitive information on this forum. It's not that I have anything to hide, the reasons for my non-disclosure should be very obvious and are completely benign.

[Nixon Williams]

Offshore employment schemes

The Autumn Statement has announced:

'The Government will undertake an internal review of offshore intermedaries being used to avoid tax and NIC's and will provide an update at the Budget 2013.'

Not a surprise, given all the recent publicity regarding aggresive tax avoidance schemes.

[prozak]

Hi prozak ! Forgive me if I didn't feel compelled to answer your question within minutes of you asking it

Given posts like the following:



Your MO on this board seems to be to wind up or "troll" certain individuals, an activity which I refuse to get drawn into, and is quite possibly against the T's & C's of the forum.

Regardless, I won't be disclosing confidential & commercially sensitive information on this forum. It's not that I have anything to hide, the reasons for my non-disclosure should be very obvious and are completely benign.

No problem Phil.


Your MO appears to be a lurker trying to drum up business without havng to advertise. Hoping not to be caught out in your web of lies.

And yes you DO have somethig to hide phil. That is pretty clear. Otherwie your disclosure would be full.

There is no IP in your scheme. There is notthing clever in what you do.

Not every provider is willing to lie and mislead by calling their scheme "risk free" though. That's a new low that only you seem willing to stoop too.

[cojak]

Hi Geoff,

I was reading all of these conversations regarding to loan and would like to ask you a question;
I've received a letter from HMRC couple of weeks ago regarding of me using Sanzar Solution in 2010-2011 tax year and asking how much loan have I been paid and if I have repaid any.
What will be your recommendation regarding to this as I need to respond to HMRC. Having said that Sanzar has closed their website and I'm not the only one stuck in this mess.

Thanks,

Safe

And I came across this little gem while I was digging around Bedouin posts...

http://forums.contractoruk.com/accou...tml#post911432