What Happens When The Money Runs Out.....

[wurzel]

.......and you have to dip into the money you have set aside for your tax bill?

I may be in this situation in a couple of months time. Cutting to the chase, do HMRC let you defer payment to a later date without incurring interest and penalties?

[BlasterBates]

Don't do it. Being in debt to HMRC is not a good idea. Eventually when that money runs out you'll be in an even worse position.

Face up to it now.

A friend of mine unwittingly spent what he owed to the Tax man, in Germany, and it has put him in a bad situation.

I would see your accountant about this one.

[Jubber]

Don't. Get the tax paid and sign on. You'll get it all back without sleepless nights that way.

I would see your accountant about this one.

Wise words.

[wurzel]

I would see your accountant about this one.

I do plan to, given that the useless **** takes a week to reply to an email, I thought I'd test the water here first.

[Codejock]

Don't do it. Being in debt to HMRC is not a good idea. Eventually when that money runs out you'll be in an even worse position.

Face up to it now.

A friend of mine unwittingly spent what he owed to the Tax man, in Germany, and it has put him in a bad situation.

I would see your accountant about this one.

I wonder if this is the same guy I know?

Saved all his tax like a good little Freiberufer, then returned to the UK (after the work in Germany dried up) fully intent on paying it. Decided, rather foolishly, that he could invest some of it as a way of making a little extra on the side, bought some stock which fell through the floor and lost the lot.

He can no longer [openly] return to Germany in case they catch up with him (a lesson here also for those thinking about scarpering from DE re: MC investigations)....

[BlasterBates]

I wonder if this is the same guy I know?

Saved all his tax like a good little Freiberufer, then returned to the UK (after the work in Germany dried up) fully intent on paying it. Decided, rather foolishly, that he could invest some of it as a way of making a little extra on the side, bought some stock which fell through the floor and lost the lot.

He can no longer [openly] return to Germany in case they catch up with him (a lesson here also for those thinking about scarpering from DE re: MC investigations)....

Not it isn't he was out of work in Germany and underestimated his potential tax bill, at least your friend can sit tight in the UK and dictate when he pays the bill back, as it will be difficult for them to through the courts in the UK. They probably won't bother.

[Codejock]

Oh, I dunno.

It was (apparently) many tens of thousands of Euros....

[Codejock]

Not it isn't he was out of work in Germany and underestimated his potential tax bill, at least your friend can sit tight in the UK and dictate when he pays the bill back, as it will be difficult for them to through the courts in the UK. They probably won't bother.

And I never said he was my friend...

[Hoping to distance himself from "guilt by association"].

[pmeswani]

.......and you have to dip into the money you have set aside for your tax bill?

I may be in this situation in a couple of months time. Cutting to the chase, do HMRC let you defer payment to a later date without incurring interest and penalties?

I'm in a similar position right now. My Accountant suggested not to take any more divi's out. However, if worse scenario is envisioned.... take out a director's loan and make sure you pay it back before you are requred to pay the bill. At the end of the day, you have to make the decision on whether you can pay it back in time for the tax man to pick it up.

[TCL]

I do plan to, given that the useless **** takes a week to reply to an email, I thought I'd test the water here first.

Do we have the same accountant?