Head in the sand (kinda) - 2 questions about settlement
I guess, like many of you, I've put my head in the sand, but now trying to wise up a little.
I received "the letter" back in 2013, including a revised tax calculation for the 2008/09 tax year. My advisor (accountant, but not versed really in these schemes) was copied in. He replied back asking for suspension, which appears to have been granted as it shows as a parked amount on that year's Self Assessment online.
They then contacted me in 2014 with a 'settlement opportunity' which I opted not to take, as obviously things were still moving on this front, and there was no real clarity what the situation was. It was then parked for 4 years until, in 2018, I got the 'loan charge' letter.
Like most people, I'm sure, there's just no clarity as to what actually can happen, as HMRC are obviously inventing new rules as they go along (Loan Charge, for example).
I have, I guess, 2 main questions:
1. if the only paperwork from HMRC I have received relates only to that 1 single tax year (2008/09) and nothing before or since, is their likely settlement (when the time comes) going to only be for that year?
2. if I have the amount on that HMRC re-assessment, would my settlement basically be that amount plus interest, or do they actually want to go through and recalculate that year from scratch?
To be frank, this ongoing situation is worrying. Even though it is a not insignificant amount, if I knew I could just pay that initial re-assessment figure from 2013, then right now I'd probably take it, rather than get into protracted arguments and ratchet up the fear and worry further.
I received "the letter" back in 2013, including a revised tax calculation for the 2008/09 tax year. My advisor (accountant, but not versed really in these schemes) was copied in. He replied back asking for suspension, which appears to have been granted as it shows as a parked amount on that year's Self Assessment online.
They then contacted me in 2014 with a 'settlement opportunity' which I opted not to take, as obviously things were still moving on this front, and there was no real clarity what the situation was. It was then parked for 4 years until, in 2018, I got the 'loan charge' letter.
Like most people, I'm sure, there's just no clarity as to what actually can happen, as HMRC are obviously inventing new rules as they go along (Loan Charge, for example).
I have, I guess, 2 main questions:
1. if the only paperwork from HMRC I have received relates only to that 1 single tax year (2008/09) and nothing before or since, is their likely settlement (when the time comes) going to only be for that year?
2. if I have the amount on that HMRC re-assessment, would my settlement basically be that amount plus interest, or do they actually want to go through and recalculate that year from scratch?
To be frank, this ongoing situation is worrying. Even though it is a not insignificant amount, if I knew I could just pay that initial re-assessment figure from 2013, then right now I'd probably take it, rather than get into protracted arguments and ratchet up the fear and worry further.
