Settlement Opportunity

[convict]

Just out of interest is there anyone here who was in a scheme for 2010-12 (and is under enquiry/discovery assessment) who has NOT received a letter from HMRC regarding the Settlement Opportunity?

[steveb555]

Just out of interest is there anyone here who was in a scheme for 2010-12 (and is under enquiry/discovery assessment) who has NOT received a letter from HMRC regarding the Settlement Opportunity?

Yes, I fit that scenario. I was informed that an enquiry was opened under section 9A for year 2011-12. Nothing further received since then.

[convict]

sorry, I actually meant 2009/2010 and 2010/2011 - this is the period around when the disguised remuneration stuff hit in dec 2010.

[pimpernell]

Hi. Apologies if this has been asked elsewhere (although I couldn't find anything).

I contacted cl.resolutions @ hmrc recently because I want this monkey off my back and the SO is still open.

The standard reply included a link to form DO3 which hmrc will use to calculate my settlement amount. I am expected to supply numbers for loan amounts and I have a practical question about completing the form DO3 - advise from a tax person/ someone who has completed this before.

I contacted hmrc because of a cop8 I received with regard to a specific tax year. The DO3 form itself has a box with an opportunity to enter a reference which I have for the cop 8,

The form is asking for the amounts of contractor loans I rceived from the scheme.

My question is: do I complete all years I was in the scheme or just for the year(s) that I have an open enquiry as per the cop 8 and using the reference?

Loathe to give details I don't have to, but equally don't want to submit anything that may be considered incomplete.

[MrsB1974]

I didn't fill in the form, I called them and they gave me a total amount of loans that they had on record. (It was reasonably accurate.) I requested a settlement calculation "without prejudice" and they sent one out after about 4-5 weeks.

Do some more reading of this forum... You might see that it's better to wait for an APN and pay that instead.

[horrada]

Had my settlement offer rejected today, over 4 months since I responded to their settlement opportunity.
"I note you have claimed expenses. The additional income is being taxed under the Transfer of Assets legislation and because of this it is not possible to claim expenses"

Paper work now sent to Bankruptcy Admin.

all the best

[webberg]

Had my settlement offer rejected today, over 4 months since I responded to their settlement opportunity.
"I note you have claimed expenses. The additional income is being taxed under the Transfer of Assets legislation and because of this it is not possible to claim expenses"

Paper work now sent to Bankruptcy Admin.

all the best

it certainly appears that HMRC says "take it or leave it".

I used to think that HMRC held out the settlement opportunity as a start point for a sensible discussion. I used to think that HMRC would be reasonable and respond to an alternative analysis. I used to think that HMRC would realise that there is no "one size fits all" solution.

I no longer think this.

I now think that the settlement opportunity is a poor one. I think there is a need to show strength in all steps up to and including litigation whilst pushing the alternative arguments.

In particular I've been thinking about a strategy proposed by Boobetty. Stripped of fancy words, this is civil disobedience. It's tying up HMRC resources and squeezing every drop from every procedural and technical argument and being "difficult".

Only if HMRC see no end to this might they be forced into being sensible.

As an ex HMRC officer, I take no pleasure in thinking this and consider it a sad decline in an organisation that was at least honest and reasonably sensible when I was in it.

As always look at the damage caused by the politicians and in particular the PAC.

[DotasScandal]

squeezing every drop from every procedural and technical argument and being "difficult"

In a nutshell: doing just what HMRC is doing!
The problem is that this fight is highly assymetric: the State has all the time in the world to fight us, using our own money. Always been, always will be.
So, more sophisticated guerilla tactics are needed I'm afraid. I don't know which, but necessity is the mother of invention...

[tax is taxing]

In a nutshell: doing just what HMRC is doing!
The problem is that this fight is highly assymetric: the State has all the time in the world to fight us, using our own money. Always been, always will be.
So, more sophisticated guerilla tactics are needed I'm afraid. I don't know which, but necessity is the mother of invention...

I agree.

HMRC seems to use different argument to rebuff any sensible settlement opportunity tax payer puts forward. HMRC also seems to have forgotten the fact that, they had 5 years to investigate my scheme and did nothing.

We need a coercive, conjoint action to neuter this unreasonable and draconian behaviour from HMRC. I voted DC 5 years ago and I did not envisage this predicament. I am not sure if I want to vote again. Any party for that matter.

[cap]

What actually happens next if you don't take up the settlement 'opportunity'

Just wondering what actually happens next if you don't take up the settlement opportunity i.e. what is the path to this being resolved (one way or another) in the courts. I remember reading about this is an old post but can't find it.

1) As I understand it, to go to the FTT you need to appeal against a tax decision so that means HMRC has to firstly issue one. Would they
a) issue decisions for all open enquiries? or
b) some random ones? or
c) would they somehow choose a representative one that they know will be appealed, thereby setting a precedent for all other 'similar' schemes.

2) If a decision ever eventuates, what level of penalties might be charged for a COP8 investigation? I've seen suggested levels ranging from 0% to 200% depending on the severity and level of cooperation but wondered where EBT investigations sit assuming you submitted all your tax returns using P11D values etc. There seems to be a lot of subjectivity available for HMRC with these levels...