Vanquish Options - They've been in touch ... I now have an opinion ...
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Ok so here's where I am with Vanquish Option and my particular arrangement 'AML/AMLimited', 'Smartpay' and 'Knox House Trust' (IoM) that I had for several years.
Vanquish options called me and gave me the scenarios as follows (quoting their email ....)
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"Thank you for taking the time to make contact and speak with us.
The Loan Charge, which will be brought in on the 6th of April next year, is unprecedented in its scope. Fortunately there are a number of options available to you. These options help to mitigate or eliminate the Loan Charge.
In summary, these are:
· Pay the “Loan Charge” by 31st of January 2020. This will typically cost 40-45% of the loan amount in tax; or
· Register for the “Contractor Loan Settlement Opportunity” before May 31st 2018 and make payments to HMRC within an agreed timescale. The timescale is usually 2-5 years from the date the settlement is agreed and typically will cost 25-35% of the loan sum in tax; or
· Repay your loan using our preferred loan repayment opportunity.
As indicated, your preferred option is the loan repayment opportunity, which enables your loan to be repaid before the April 6th 2019 deadline. This means that you should not be subject to the new Loan Charge legislation on this date. The arrangement will need to be completed in stages with implementation after the Pre Budget Report but before 6th April 2019.
For us to proceed, we need you to complete the Agreement Form linked here to provide authority to the planning provider(s) to provide us with the details of your loan(s) outstanding and to pay your initial fee of £250. Please note that the password for the link is xxxxx
This fee should be paid electronically to .... "
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The caller on the phone "Jack" was very precise and calm in what he would and wouldn't say.
I too said it sounds too good to be true and I think it is. Personally I think it's an opportunist set-up attempting to provide an arrangement to circumnavigate the immediate problem posed by HMRC and it's retrospective legislation, but I'm not saying that is a bad thing. I also recognise and have some concern of their IoM status, locality to AML and Knox House Trust (et al) as well as the fact they are 'newly formed'.
Note also that the words of the email are 'should' so at the outset they offer no guarantees. Furthermore the mentioned 'pre-budget report' may be a factor in determining if this approach will succeed or not. Any initial payment to Vanquish up to that point being non-refundable.
I suspect the best outcome of following this route is that you will handover a few thousand pounds to Vanquish Options for nothing more than a delay of a year or more (perhaps considerably more) until HMRC analyses the arrangement, see it as a 'dodge' and counter it. I expect the courts will fully support them in doing that.
Your personal situation will determine the best option for you, face-up to the debt and manage it via HMRC options, or go down the Vanquish Options route and forget about it for a while, perhaps.
Like all 'new' things maybe best to leave it a little longer until others have walked some way down that road to see where the potholes are and what the end outcome is likely to be, that's what I intend to do.
Finally - it's only money, mental health is more important, as well as the other good things in your life, if you feel troubled and somewhat 'lost' about all this, talk to a family member or a friend, get professional advice. Feel free to message me if you have no where else to turn, I can't solve your problem but I can offer an ear, "a problem shared..." and all that, and a brew maybe
If it's truly bad for you an IVA arrangement or Bankruptcy will end it for sure, yes you'll have to rebuild from that but it's not the darkness it's so often advocated to be these days and you won't be alone in the contracting community if you do indeed have to go there, lots are caught by this retrospective ruling and many won't be able to pay or will ignore it until it's too late, simply ignoring HMRC, especially further down the line, I strongly advise against.
.
Ok so here's where I am with Vanquish Option and my particular arrangement 'AML/AMLimited', 'Smartpay' and 'Knox House Trust' (IoM) that I had for several years.
Vanquish options called me and gave me the scenarios as follows (quoting their email ....)
------------------------------------------------------------------------------------------------------------
"Thank you for taking the time to make contact and speak with us.
The Loan Charge, which will be brought in on the 6th of April next year, is unprecedented in its scope. Fortunately there are a number of options available to you. These options help to mitigate or eliminate the Loan Charge.
In summary, these are:
· Pay the “Loan Charge” by 31st of January 2020. This will typically cost 40-45% of the loan amount in tax; or
· Register for the “Contractor Loan Settlement Opportunity” before May 31st 2018 and make payments to HMRC within an agreed timescale. The timescale is usually 2-5 years from the date the settlement is agreed and typically will cost 25-35% of the loan sum in tax; or
· Repay your loan using our preferred loan repayment opportunity.
As indicated, your preferred option is the loan repayment opportunity, which enables your loan to be repaid before the April 6th 2019 deadline. This means that you should not be subject to the new Loan Charge legislation on this date. The arrangement will need to be completed in stages with implementation after the Pre Budget Report but before 6th April 2019.
For us to proceed, we need you to complete the Agreement Form linked here to provide authority to the planning provider(s) to provide us with the details of your loan(s) outstanding and to pay your initial fee of £250. Please note that the password for the link is xxxxx
This fee should be paid electronically to .... "
------------------------------------------------------------------------------------------------------------
The caller on the phone "Jack" was very precise and calm in what he would and wouldn't say.
I too said it sounds too good to be true and I think it is. Personally I think it's an opportunist set-up attempting to provide an arrangement to circumnavigate the immediate problem posed by HMRC and it's retrospective legislation, but I'm not saying that is a bad thing. I also recognise and have some concern of their IoM status, locality to AML and Knox House Trust (et al) as well as the fact they are 'newly formed'.
Note also that the words of the email are 'should' so at the outset they offer no guarantees. Furthermore the mentioned 'pre-budget report' may be a factor in determining if this approach will succeed or not. Any initial payment to Vanquish up to that point being non-refundable.
I suspect the best outcome of following this route is that you will handover a few thousand pounds to Vanquish Options for nothing more than a delay of a year or more (perhaps considerably more) until HMRC analyses the arrangement, see it as a 'dodge' and counter it. I expect the courts will fully support them in doing that.
Your personal situation will determine the best option for you, face-up to the debt and manage it via HMRC options, or go down the Vanquish Options route and forget about it for a while, perhaps.
Like all 'new' things maybe best to leave it a little longer until others have walked some way down that road to see where the potholes are and what the end outcome is likely to be, that's what I intend to do.
Finally - it's only money, mental health is more important, as well as the other good things in your life, if you feel troubled and somewhat 'lost' about all this, talk to a family member or a friend, get professional advice. Feel free to message me if you have no where else to turn, I can't solve your problem but I can offer an ear, "a problem shared..." and all that, and a brew maybe
If it's truly bad for you an IVA arrangement or Bankruptcy will end it for sure, yes you'll have to rebuild from that but it's not the darkness it's so often advocated to be these days and you won't be alone in the contracting community if you do indeed have to go there, lots are caught by this retrospective ruling and many won't be able to pay or will ignore it until it's too late, simply ignoring HMRC, especially further down the line, I strongly advise against.
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