Letter from HMRC regarding possible involvement in Tax avoidance

[Fred Bloggs]

In which case those figures are correct (just badly explained) and we are left with

Why does HMRC regard this company as dodgy? I think you need to get on the phone to HMRC and ask them because the figures add up and those figures match what is being reported to HMRC and hence appearing on your personal portal. And that is the check WTT and others are recommending to ensure everything is above board.

The only thing I'm left wondering about is

1) is the umbrella paying the tax that is expected to be paid - because except for that everything looks fine.
2) is / was this company previously being used for the PAYE proportion of a scheme and you are one of the none scheme members used to make it look legitimate.

I'm starting to suspect that 2 may be the answer here.

Either way my recommendation would be to ask your agency what other umbrellas could you use instead as HMRC have raised concerns about Turnkey and you would prefer to be safe rather than sorry.

It looks absolutely like option 2. The OP was offered a "solution" but wisely rejected it. At this point I would advise the OP to immediately change brollies to one with no possible connection to a possible scheme provider. If only to draw a line under this. OP seems to be pretty sensible. But it seems very careful due diligence might have rung alarm bells about subject brolly.

[Fred Bloggs]

The point was they have no website - so no marketing site and not even a portal for admin purposes.

That doesn't make much sense in this day and age unless something is dodgy or in stealth mode.

Exactly.

[eek]

So the full rate with employers NI is 60 per hour. I work 40 hour weeks.

In which case those figures are correct (just badly explained) and we are left with

Why does HMRC regard this company as dodgy? I think you need to get on the phone to HMRC and ask them because the figures add up and those figures match what is being reported to HMRC and hence appearing on your personal portal. And that is the check WTT and others are recommending to ensure everything is above board.

The only thing I'm left wondering about is

1) is the umbrella paying the tax that is expected to be paid - because except for that everything looks fine.
2) is / was this company previously being used for the PAYE proportion of a scheme and you are one of the none scheme members used to make it look legitimate.

I'm starting to suspect that 2 may be the answer here.

Either way my recommendation would be to ask your agency what other umbrellas could you use instead as HMRC have raised concerns about Turnkey and you would prefer to be safe rather than sorry.

[jimmy899]

I know that the OPs daily rate would allow me to work out in what way the payslip is dodgy but at the moment all I can say is something is clearly wrong but I can't work out what is going on.

So the full rate with employers NI is 60 per hour. I work 40 hour weeks.

[eek]

Really? are you sure? https://turnkeypaymentsolutions. com

Cheers, it appears if I search on bing, but google doesn't include it - which is again strange

Also only the home page exists, none of the other pages do.

[anonymouse]

The point was they have no website - so no marketing site and not even a portal for admin purposes.

That doesn't make much sense in this day and age unless something is dodgy or in stealth mode.

Really? are you sure? https://turnkeypaymentsolutions. com

[eek]

Given the state of the "umbrella's" accounts, I would suggest they are merely a mouthpiece for something a bit bigger, maybe a MUC? Shame we can't see their cashflow.

And I also think this looks like an agency-provided umbrella, rather than a genuine business.

I would be more curious about Quantum PAYE (a sister company whose voluntary liquidation has been blocked that has an interesting name connected with previous schemes).

As I said something doesn't add up here (and without the daily / hourly rate we don't know what's happening).

Now it may be an the Mini umbrella companies (MUC) are involved but I'm not so sure about that (MUCs make more sense on a business basis for those earning less than £40k or so a year). Equally it may well be that the RTI submissions are being sent but the money isn't being sent to HMRC.

But I just don't know. I know that the OPs daily rate would allow me to work out in what way the payslip is dodgy but at the moment all I can say is something is clearly wrong but I can't work out what is going on.

[malvolio]

I would guess agency recommendation but we are definitely missing something here - I just can't work out exactly what.

Given the state of the "umbrella's" accounts, I would suggest they are merely a mouthpiece for something a bit bigger, maybe a MUC? Shame we can't see their cashflow.

And I also think this looks like an agency-provided umbrella, rather than a genuine business.

[jimmy899]

Well the I got to them via the agency.

Or rather the agency put me in touch with a broker who offered two options either full PAYE or some enhanced PAYE scheme.

Given the fact that I was aware of all these schemes I explicitly stated i wanted a full PAYE, none of these schemes. Then when i got the umbrella name i googled them and did, at the time, find their web on google without any trouble and they looked legit.

Again when speaking to them was assuted full PAYE and all the documents I have, including the data they submit to HMRC appears to show full PAYE deductions.

So that is why i was surprised by the letter given all these assurances it is all full PAYE and i do get only the single payment i to my account with appatently propet tax and NI deducted if one uses online tax calculators.

Thank you everyone for your input again.

[eek]

If they are that elusive, I wonder how the OP found out about them? Recommended by the agency perhaps, or another contractor?

I would guess agency recommendation but we are definitely missing something here - I just can't work out exactly what.