Ross Thompson's Loan Charge Suspension Petition

[NotAllThere]

What was the intent of Parliament, in 2000, when they enacted the anti-avoidance legislation IR35?

To prevent contractors from working economically, thereby benefiting their pals in PwC et. al.

Has the intent changed?

No.

[ShandyDrinker]

Scaremongering about possible retro tax on all 'outside IR35' is plain dim.
Those that have 'followed the rules' (HMRC rules that is) have nothing to fear as we were being as honest as we could, and collecting large amounts of Tax for HMRC at the same time.
If HMRC got beligerant then we will have to de-register from VAT and all VAT collected for HMRC will have to go back the the clients/end clients.

Genuine Q for those who had a scheme with Ltd co. Can you dissolve the co? HMRC will complain but at the end of the day if there is no prospect of retrieving the Tax they have to dissolve.

Interesting comment about being plain dim. I was not suggesting on all outside IR35 contracts. If concerns about retrospection were not a thought people had, then why mention it in the the budget note?
Indeed to quote:

The reform is not retrospective. As was the case in the public sector, HMRC will focus on ensuring businesses comply with the reform for new engagements, rather than focusing on historic cases. HMRC will not carry out targeted campaigns into previous years when individuals start paying employment taxes under IR35 for the first time. Organisations’ decisions about whether workers are within the rules will not automatically trigger an enquiry into earlier years.

There has been concern in a number of places that if contractors are in a contract considered outside IR35 now but inside IR35 once the private sector rollout has completed, then there is a heightened possibility of an investigation. For those contractors who have been with an organisation for a number of years, I believe this will potentially prove too juicy a target to ignore.

The dodgy contractors like to muddy the waters in two ways.

Firstly, by false equivalence between offshore loan schemes and structures established by parliament such as ISAs and pensions.

Secondly, by a slippery slope argument that Ltd Co. contractors will be next for retrospective taxation.

Not sure where the false equivalence came from.

As for the retrospective taxation see the above. I can see retrospective investigations taking place, particularly if they believe it will be a cash cow.

[AtW]

How's your ISA coming along? Busily avoiding/evading tax?

I use my ISA in a way that was intended by the Parliament.

[AtW]

You mean like in Russia.

No like in Germany and many other law abiding nations

[AtW]

The dodgy contractors like to muddy the waters in two ways.

Firstly, by false equivalence between offshore loan schemes and structures established by parliament such as ISAs and pensions.

Secondly, by a slippery slope argument that Ltd Co. contractors will be next for retrospective taxation.

Thirdly - using alleged suicides to gain financial advantage for themselves, that’s just sick.

[NotAllThere]

Thirdly - using alleged suicides to gain financial advantage for themselves, that’s just sick.

Nope. There really have been suicides which could well be as a direct result of the Loan Charge.

[stonehenge]

Thirdly - using alleged suicides to gain financial advantage for themselves, that’s just sick.

You think the woman on the radio, this morning, wasn't telling the truth about her dad's death?

[AtW]

You think the woman on the radio, this morning, wasn't telling the truth about her dad's death?

And whose fault is that - HMRCs for trying to get the tax due?

There is no death penalty for non-payment of tax - bankruptcy is the worst that can happen, it’s bad for sure but a direct result of making A CHOICE to dodge taxes that were clearly due.

[Old Greg]

Nope. There really have been suicides which could well be as a direct result of the Loan Charge.

Would it be indelicate to add to the debate suicides which could well be a direct result of austerity?

[AtW]

How many of the suicides are the people who would not even dream to reach 40% tax threshold?

What is the goal of people using suicides to stop Loan Charge - stop suicides or gain personally in a large way financially?