Jesse Norman and loan charge

[webberg]

Mr Norman, Financial Secretary to the Treasury, aka "Minister of Tax", is today giving evidence to the House of Lords.

He has said that where loans etc have been fully disclosed and/or years closed, then the loan charge will not apply.

Before we break out the jelly and cakes, we're going to await the confirmation of what he actually means in amendments to the legislation.

Given his predecessors performance in the role and the fact that MPs often say one thing and mean another, we frankly do not trust what he tells a committee will actually mean much.

If we are to interpret his words literally, perhaps 0.1% of contractors might benefit.

If he actually means no loan charge where there is no enquiry opened in time, then a much higher percentage (40%?) which would of course reduce the tax take and which is why we are - for the moment - choosing not to believe what he says.

[SandyD]

Keep us updated!

[Iliketax]

Loan charge starts almost immediately: https://parliamentlive.tv/event/inde...1-63ee985273d6

[wilks]

Loan charge starts almost immediately: https://parliamentlive.tv/event/inde...1-63ee985273d6

Unless Norman misstated it, its a load of rubbish. He states if an enquiry was opened and full disclosure was made and the enquiry was then closed then out of scope of LC. That scenario would happen only by HMRC mistake as why would they close an enquiry when there was clearly a loan.

The HOL have been duped and we will be sure they understand this via LCAG.

[dammit chloe]

Yup. Seems Jesse Norman likes to play word games in an attempt to defuse the Lords.


Something has changed which shows it can be done if the Treasury will it without much fuss. But it is a very, very tiny change.

[wilks]

Yup. Seems Jesse Norman likes to play word games in an attempt to defuse the Lords.


Something has changed which shows it can be done if the Treasury will it without much fuss. But it is a very, very tiny change.

Are you joking? The proposed change will affect about 1 in every 5,000 i.e. only if HMRC have made a mistake and closed a year with a loan

[dammit chloe]

Are you joking? The proposed change will affect about 1 in every 5,000 i.e. only if HMRC have made a mistake and closed a year with a loan

Don't understand. I said it was a very, very tiny change.

[wilks]

Don't understand. I said it was a very, very tiny change.

Perhaps there are 10 happier people out there from 50,000. I would say it was a deliberate and spiteful "change" by HMRC and Norman designed to dupe HOL into thinking their closed years recommendation was accepted.

[dammit chloe]

Perhaps there are 10 happier people out there from 50,000. I would say it was a deliberate and spiteful "change" by HMRC and Norman designed to dupe HOL into thinking their closed years recommendation was accepted.

Yes. However my main point was that the Treasury can make changes at will if they want to. No need for legislation or finance bill.

[Iter]

Hopefully this is just the start, with new PM looming, and keeping the pressure up further changes can be pushed through....