TTP extended to 5 years

[GreenMirror]

Just in today:-

If the new loan charge will apply and you want to settle your use of these schemes before it takes effect, you can pay the amount due over a period of up to 5 years

https://www.gov.uk/guidance/disguise...ur-tax-affairs

LCAG having an effect.

[WalterWhite]

Just in today:-

If the new loan charge will apply and you want to settle your use of these schemes before it takes effect, you can pay the amount due over a period of up to 5 years

https://www.gov.uk/guidance/disguise...ur-tax-affairs

LCAG having an effect.

Only if earning less than £50k and "out of avoidance"

[ChimpMaster]

To quote from the link above:

If you have difficulty paying, HMRC can help you settle your tax affairs and get out of disguised remuneration avoidance schemes by spreading payments over a number of years.
If the new loan charge will apply and you want to settle your use of these schemes before it takes effect, you can pay the amount due over a period of up to 5 years, as long as:
your expected current year taxable income is less than £50,000 (for employees, this is your expected gross earnings, for self-employed people, this is your expected net profit)
you’re no longer engaged in tax avoidance
If your income is higher or you need a longer period to pay, we can still help you. There are no defined minimum or maximum time periods for payment arrangements. We will:
take into account any changes in your circumstances and discuss options to make sure we manage your case in the best way
always take a realistic look at your income, assets and essential outgoings, alongside what you owe and any other debts
always consider how much you’re able to pay, and over what period
expect you to pay the outstanding amount in the fastest possible time

[GreenMirror]

Remember that HMRC recently allowed 40+ years TTP in one case.

All this announcement does it make it easier to obtain. Some people have been using advisers to get better results.

The recent bad publicity has started to hit them.

[ChimpMaster]

"If you have difficulty paying … "

That comment alone sounds insidious. HMRC will dig into every aspect of your life to work out why you can't pay them right now.

[allbutbankrupt]

The last line is the important one:

expect you to pay the outstanding amount in the fastest possible time

All the rest sets false expectation - its intended purpose.

[webberg]

Having been on the side of pointing out to case workers HMRC statements about flexibility and not bankrupting people to be met with "computer says no", I'm not prepared to believe this statement until I see it in action. (And I think inaction is what we will get).

[phil@pmtc]

I discussed with HMRC today. Not too surprisingly its something they are offering as a push to make people settle faster, though tbf they did apply it (in that they agreed the 5 years instantly). It does however 'only apply to those on settlement' and not TTP in general which is clearly an unfair ridiculous position to take.

[GreenMirror]

I discussed with HMRC today. Not too surprisingly its something they are offering as a push to make people settle faster, though tbf they did apply it (in that they agreed the 5 years instantly). It does however 'only apply to those on settlement' and not TTP in general which is clearly an unfair ridiculous position to take.

Indeed. HMRC do the absolute bare minimum at every stage.

[CockneyRed]

Only 5 years?

Lets say that it is 5 years as a default, I would need to find over 20k per year to pay what I apparently owe. It's simply unaffordable, surely there must be some sense and morality in the judgement of TTP with people and debts well in the 6 figures?