AML 2019 Loan Charge

[Dharmin]

I guess the difference is the same as the difference between doing your accounts yourself or getting a professional accountant to do them.

Do you do your own company accounts?

Thanks.... but still not clear..

I do have my own co. accountant, who does my ltd co. accounts.

[uppoocreek]

WTFH or DIY? It would seem ALOT of money for someone else to submit an email to HRMC and then to deal with them

Have a look at this EXCELLENT DIY post of someone who has been through this.

https://forums.contractoruk.com/hmrc...letter-66.html

Didn’t cost nearly ££K to submit some emails to HMRC...

[Dharmin]

WTFH or DIY? It would seem ALOT of money for someone else to submit an email to HRMC and then to deal with them

Have a look at this EXCELLENT DIY post of someone who has been through this.

https://forums.contractoruk.com/hmrc...letter-66.html

Didn’t cost nearly ££K to submit some emails to HMRC...

https://www.accountingweb.co.uk/tax/...tractors-loans

[Gusman1859]

Living in ROI since 2013

hi,

I moved to Ireland in 2013 (South). I recently got a letter from hmrc re 2019 loan change.

Tempted to settle and tempted to do nothing - fed up with the uncertainty. I have some assets in the UK.

Can HMRC come after me in South of Ireland? If they cant and if the cant take my assets in the UK then why would i settle?

Is anyone in this board based in the south of Ireland or in another EU country? I would be really interested to hear from you.

Kind Regards
Tony

[WTFH]

WTFH or DIY? It would seem ALOT of money for someone else to submit an email to HRMC and then to deal with them

Have a look at this EXCELLENT DIY post of someone who has been through this.

https://forums.contractoruk.com/hmrc...letter-66.html

Didn’t cost nearly ££K to submit some emails to HMRC...

Thanks for your very informative post. It’s the second one tonight where you just point to the start of a thread which began in 2012 and has been going on for some time.

Why use an accountant to try to do your accounts?
And no, it’s not just submit one email. As for it being a lot of money, compared to the amounts some people on here owe, it’s very little.
But to have an accountant who knows what to do and how best to present the figures saves busy contractors a lot of time and effort, and possibly money.

[Scotslaw]

hi,

I moved to Ireland in 2013 (South). I recently got a letter from hmrc re 2019 loan change.

Tempted to settle and tempted to do nothing - fed up with the uncertainty. I have some assets in the UK.

Can HMRC come after me in South of Ireland? If they cant and if the cant take my assets in the UK then why would i settle?

Is anyone in this board based in the south of Ireland or in another EU country? I would be really interested to hear from you.

Kind Regards
Tony

The Loan Charge legislation will take your tax avoidance (trustee loan) and turn it into tax evasion. In April, you will incur a tax event on your outstanding loan and you will be required to declare it to HMRC by law, presumably through a self assessment.
Your physical location in the world won't change the tax event.
If you haven't filed a return declaring the loan amount by their deadline (31/01/2020), you will have become a tax evader.
Living in ROI won't protect you, nor will living in any country with whom the UK has an extradition agreement.
The question will be how much will you owe and how far will HMRC and the law enforcement authorities go to enforce tax evasion laws.
You may decide to chance it, but possibly may not have peace of mind, not knowing what's going to happen in the future.
The consistent advice on the forum and elsewhere is to not ignore the charge. You should discuss your options with a specialist advisor or with a lawyer.

https://www.taxation.co.uk/Articles/...and-punishment

[DontSettle]

Care to share with us what your qualifications/expertise is that means you are so against settling?

I am not HMRC and I do not deal with contractors.

[THISISWRONG]

The Loan Charge legislation will take your tax avoidance (trustee loan) and turn it into tax evasion. In April, you will incur a tax event on your outstanding loan and you will be required to declare it to HMRC by law, presumably through a self assessment.
Your physical location in the world won't change the tax event.
If you haven't filed a return declaring the loan amount by their deadline (31/01/2020), you will have become a tax evader.
Living in ROI won't protect you, nor will living in any country with whom the UK has an extradition agreement.
The question will be how much will you owe and how far will HMRC and the law enforcement authorities go to enforce tax evasion laws.
You may decide to chance it, but possibly may not have peace of mind, not knowing what's going to happen in the future.
The consistent advice on the forum and elsewhere is to not ignore the charge. You should discuss your options with a specialist advisor or with a lawyer.

https://www.taxation.co.uk/Articles/...and-punishment

Where is the legislation that says it will become evasion if you do not declare it 31/01/2020?

[WTFH]

I am not HMRC and I do not deal with contractors.

So are you saying that your comments are made based on you not understanding the situation, or is it because you think giving out bad advice is a good thing to do?

[Loan Ranger]

Where is the legislation that says it will become evasion if you do not declare it 31/01/2020?

Let's say you have outstanding loans of £100,000.

If you don't settle, then the LC deems it as though you earned an extra £100,000 on 5th April 2019.

If you don't declare this £100,000 through 2018/19 self-assessment, then it amounts to the same thing as failing to declare any other forms of income eg. income from a rental property.