rise of the loan schemes again

[Lance]

It’s not just the rich that avoid tax: it’s teachers and nurses too | Money | The Sunday Times (thetimes.co.uk)


As it's behind a paywall here are some excerpts....


"On Tuesday the Treasury is set to have its first tax day, when it will unveil dozens of consultations designed to transform the tax system and make it more digital. "

"a rising number of middle-income workers, including NHS nurses recruited during the pandemic, are taking part in tax avoidance schemes and owe the taxman nearly £2 billion."

"pays the worker a small income and a larger amount through a non-refundable loan. The worker is told that the income part is taxable while the loan is not. As a result, they only pay income tax and national insurance on a small part of their earnings."

"Nine out of ten people who use the schemes earn under £50,000 a year and in London there has been a noticeable shift in tax avoidance away from richer boroughs such as Kensington and Chelsea."

One does wonder why they don't make promoting these schemes a criminal offence.


Oh and there is a Chrome/Edge extension that bypasses most paywalls
It's called...... Bypass Paywalls

[NotAllThere]

The author, David Byers, is a bit of an HMRC shill.

HMRC has successfully fought cases against these schemes and chased tax debts from people who use them.

I know the second part is true, but the first?

[ladymuck]

RBKC is no longer the crowning glory of tax avoidance? I need to move to a borough that better aligns to my morals

[malvolio]

Things won't change until HMRC works out that £2bn is not owed by the users of such schemes but by the people promoting and operating them, who are failing to correctly assess and report the tax position in the first place. There are good odds that 90% of the people involved as users are totally unaware of how they are being misled.

[cojak]

And that's before you get to the scavengers picking up the 'debts' once the sharks have had their fill (often the same bloodsuckers...)

[vetran]

RBKC is no longer the crowning glory of tax avoidance? I need to move to a borough that better aligns to my morals

Monaco is popular this time of year, you can't get much more tax efficient than Sir Phillip Greed.

[DoctorStrangelove]

^^^Only Little People pay taxes.

[ladymuck]

Monaco is popular this time of year, you can't get much more tax efficient than Sir Phillip Greed.

Better weather too.

[AtW]

Things won't change until HMRC works out that £2bn is not owed by the users of such schemes but by the people promoting and operating them

Yeah 40%+ taxpayers evaded income tax (and NiCs), paid 10% to co-conspirators of this tax fraud, and yet they are the victims who don’t owe tulip.

[malvolio]

Yeah 40%+ taxpayers evaded income tax (and NiCs), paid 10% to co-conspirators of this tax fraud, and yet they are the victims who don’t owe tulip.

I'm guessing you have no idea what's actually going on, do you....