Settling things with HMRC

[mistertach]

Hi there, looking for some advice

I got a letter early this year to settle affairs with HMRC, I've filled in information about a disguised remuneration scheme with Bedouin

I've received a document to sign to settle, what is called an 'offer to settle'. I'm happy to do, however, I'm not happy with the interest that is being applied.

So I've had the case appealed, the loan is from 2011-2012, and to a £14500 loan they've added an interest of £3700

Is there anything that can be done to remove the interest? It looks wrong that they are charging interest from 2.6% to 3%, which are numbers that have never been this good for savings accounts. Is it worth appealing this, using solicitors?

Any help will be appreciated

[eek]

Hi there, looking for some advice

I got a letter early this year to settle affairs with HMRC, I've filled in information about a disguised remuneration scheme with Bedouin

I've received a document to sign to settle, what is called an 'offer to settle'. I'm happy to do, however, I'm not happy with the interest that is being applied.

So I've had the case appealed, the loan is from 2011-2012, and to a £14500 loan they've added an interest of £3700

Is there anything that can be done to remove the interest? It looks wrong that they are charging interest from 2.6% to 3%, which are numbers that have never been this good for savings accounts. Is it worth appealing this, using solicitors?

Any help will be appreciated

Sadly not - HMRC are entitled to charge interest at their (legal defined) interest rates. see Interest rates for late and early payments - GOV.UK (www.gov.uk)

By glad your loans date from after the 2008 financial crisis - before then the interest could be easily double the amount owed within a few years.

[DealorNoDeal]

By glad your loans date from after the 2008 financial crisis - before then the interest could be easily double the amount owed within a few years.

Indeed. I know people who are facing interest bills, from the early 2000s, of 80%. On £100k tax, that's an extra £80k!

[regron]

Hi there, looking for some advice

I got a letter early this year to settle affairs with HMRC, I've filled in information about a disguised remuneration scheme with Bedouin

I've received a document to sign to settle, what is called an 'offer to settle'. I'm happy to do, however, I'm not happy with the interest that is being applied.

So I've had the case appealed, the loan is from 2011-2012, and to a £14500 loan they've added an interest of £3700

Is there anything that can be done to remove the interest? It looks wrong that they are charging interest from 2.6% to 3%, which are numbers that have never been this good for savings accounts. Is it worth appealing this, using solicitors?

Any help will be appreciated

Also, if you arrange for a 'Time to Pay' agreement rather than one off payment, an additional 1% forward interest will also be added due to the (so called) risk for HMRC.