Churchill Knight & Boox clients being investigated as Managed Service Companies

[eek]

Does it help to point the blame elsewhere? The liability is still on the company, its director, and then the accountant. In fact it seems like it could make it worse as HMRC wants to suggest you weren't really in control of your company.

HMRC's argument starts from the point that you created a limited company because it's better to be paid via a PSC rather than via PAYE. Showing that the company was created for other reasons mitigates at least some of that argument.

[Fred Bloggs]

Does it help to point the blame elsewhere? The liability is still on the company, its director, and then the accountant. In fact it seems like it could make it worse as HMRC wants to suggest you weren't really in control of your company.

I think you make a very fair point there. If I were paying for a professional to make an appeal on my behalf, then I would be far more interested in hearing their opinion on how to proceed.

[eek]

David is offering personalised too and the removal of conditional tax.

Was anyone doing anything about the Corporation tax that was already paid to make sure it's returned?

[jamesbrown]

I think the main thing about an appeal letter, other than it being timely and containing the basic information that any taxes determined should be deferred on appeal, is that it should absolutely engage with the facts as they relate to your situation. Any sort of cookie cutter response is going to go on the "deal with it later" pile and there's always a slim chance that a well-argued response will get your case dealt with sooner. That said, I'm always suspicious of companies like WTT who are looking to milk the situation as far as possible; they are ambulance chasers, so it's a tough call.

[eek]

I think you make a very fair point there. If I were paying for a professional to make an appeal on my behalf, then I would be far more interested in hearing their opinion on how to proceed.

Well I'm not writing a letter - I'm just pointing out another point - one that Louise Rayner picked up on that others may or may not have focussed on - I've been too busy to attend the webinars as I've a day job to get launched.

[jamesbrown]

Was anyone doing anything about the Corporation tax that was already paid to make sure it's returned?

I think this partly relates to the details of the deemed payment. If it's like the IR35 deemed payment, it should be factored in, since the deemed payment applies to the payments received by the intermediary in respect of the caught services. If it's on the dividends and salary paid to the individual, that is a much tougher argument to make.

[eek]

I think the main thing about an appeal letter, other than it being timely and containing the basic information that any taxes determined should be deferred on appeal, is that it should absolutely engage with the facts as they relate to your situation. Any sort of cookie cutter response is going to go on the "deal with it later" pile and there's always a slim chance that a well-argued response will get your case dealt with sooner. That said, I'm always suspicious of companies like WTT who are looking to milk the situation as far as possible; they are ambulance chasers, so it's a tough call.

Worth looking at the options

Boox - generic appeal (free) - NOPE, Just NOPE
Qdos - generic appeal (free as covered by my Tax insurance) - know what they are doing but does it cover all bases?
David Kirk & Co - generic appeal (£250 + VAT) - not sure a generic letter works and you won't see it without paying
WTT - personalised appeal (£425 + VAT) - expensive but at least it should cover all your personal points

The thing to remember is that tax is a rich persons game and none of us are rich.

[jamesbrown]

Agree that, on the face of it, the WTT and/or David Kirk & Co approach is probably best if they are including specific details in their appeal (someone above suggests that neither is taking a generic approach) but, again, I would be paying WTT through gritted teeth, TBH.

[eek]

Agree that, on the face of it, the WTT and/or David Kirk & Co approach is probably best if they are including specific details in their appeal (someone above suggests that neither is taking a generic approach) but, again, I would be paying WTT through gritted teeth, TBH.

TBH - were I unlucky enough to be involved I would be paying anyone through gritted teeth - what I wouldn't be doing is using the Boox generic letter as that's a hiding to nothing.

[jamesbrown]

TBH - were I unlucky enough to be involved I would be paying anyone through gritted teeth - what I wouldn't be doing is using the Boox generic letter as that's a hiding to nothing.

Yes, agree, any appeal connected to Boox or CK themselves is, er, brave given the arguments being made here.