Schemes like Vanquish which claim to bypass the Loan Charge

[smalldog]

having been one of the montpelier victims I would say you need your head examining if you look at any of these kind of schemes! What may be legal today may not be tomorrow thanks to retrospection.

[Albert49]

So I spoke to these folks a few days ago and this is how they explained their scheme.

Essentially the loan recipient tells the trust they can't pay them back, and the trust agrees to accept 5% of the sum owed as final settlement. The trust absolves you of any further obligations to them, and they assume the liability for the outstanding debt.

I asked if this amounted to a loan to pay off the existing loan, they were adamant that it wasn't, that no third party was putting up money to get me out of the loan, because they would be writing me off, and finding the money to plug the hole was then their problem.

I'm extremely sceptical about all this, but not knowledgeable enough to know if this makes any sense, or HMRC will see right through it.

From your description above, it appears that you are paying 5% of the loan value to be released from any obligations, ie the trust will consider the loan repaid and they will probably give you a document saying your loans are released, however with regards the LC HMRC are very clear that you must repay the whole original loan amount in order to avoid the LC, so if you go for the scheme you will still be liable for the LC on the 95% you have not repaid.
I suggest you leave well alone and use the 5% towards settlement or engaging a tax advisor.

[webberg]

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I received a letter from HMRC to explain my tax returns and involvement in a scheme, I sent in my banks statements and paid the tax and interest and it wasn't a problem, the HMRC were actually really helpful.

If you go the loan route I would be very careful. Also if you have sharks like Helpline Services Limited chasing you to settle loans don't engage with them as they are representing illegal anti avoidance schemes, we were all miss sold these schemes by the promoters and more and more guidance is coming out each month from HMRC asking promoters to take down their sites as they mislead people. Contractor loan schemes: misleading advertising (Spotlight 42) see Contractor loan schemes: misleading advertising (Spotlight 42) - GOV.UK

If you go the loan route good luck.. I chose the less complicated option as I wanted the nightmare over. I wont be settling any loan with Trust Line as I had my scheme deemed a disguised remuneration scheme and that's income not loans.

Hope this helps.. stay strong

So do your loans still exist or have you had them written off or repaid them?

[Delendog]

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Lets leave it here, good luck to you and the battle with the HMRC.

Hey Kojak does Contractor1996 IP address come from a HMRC office anywhere - highly suspicious postings......

[Albert49]

Contractor1996

Hey Kojak does Contractor1996 IP address come from a HMRC office anywhere - highly suspicious postings......

I think you will find that Contractor1996 is a genuine poster who just happens to have made their 17 posts all in the past week (13 of them today) and all supportive of HMRC , and is definitely not working for HMRC, this is proved by the fact that some of their posts were made after 16:30 when all civil servants finish for the day

[Contractor1996]

Hey Kojak does Contractor1996 IP address come from a HMRC office anywhere - highly suspicious postings......

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[Delendog]

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get a life you goose... check my ip address good luck if I use a VPN you donkey.

Ouch

[BrilloPad]

The Govn and HMRC are clearly tightening up on all forms of avoidance, the only solid way to avoid tax is to move offshore yourself.

Any aggressive scheme using offshore vehicles or loans is going to get caught at some point, and whilst I don't condone any backdating the users of the more aggressive scheme would have known they were taking a risk.

Its these scheme and the minority of user of them which are making life so tough for the rest of us who have UK companies and want to manage our tax affairs in a reasonable way.

Good grief! Now I have heard it all.

[cojak]

Blurb...

Be aware highlandspring that I have moved this post to General where this opinion is valid.

It is NOT valid in HMRC Enquiries and I will ban you if you do it again.

[landsendsolo]

Vanquish Options Sucker.

Just joined after searching for Vanquish options in google and this forum came up.

Unfortunately I fell for their option and payed the 5%, in hindsight it was the wrong decision as HMRC are still chasing me.

Anyway I'm looking for financial advice and notice Phil gives this.

Phil can you please let me have your contact details so that we can have a chat about a way forward with HMRC.

Many Thanks,
Les