Actinium

[sj237]

I received a letter over the weekend from HMRC suggesting I might want to settle my use of this disguised renumeration scheme. The last time I heard from them was in 2008, when they said "At this stage I do not intend to ask any questions about this as matters are being discussed between HM Revenue and Customs and your employer Actinium". I never heard another thing about this until now.

Does anyone know anything more about this?

[eek]

Worth reading https://forums.contractoruk.com/hmrc...ml#post2935456 from the post I linked to.

The important thing for you is whether the letter sent in 2008 resulted in the appropriate tax years have being left / kept open or whether they've been closed down.

If the tax years are open (and you may be able to see them in your personal tax account at HMRC) then there is little you can do other than settle and pay, if they were closed then HMRC haven't got much chance of doing anything.

My advice would be to issue a subject matter request to HMRC to get all the information they have about you to you and see what a tax specialist recommends.

[sj237]

Thanks. It was for one year 2005-06, and the 2008 letter was an enquiry carried out under Code of Practice 8.

[fastgreencat]

so as far as I am aware - If you have any tax investigations for any years that are still open and they were opened before 2010, and they are classified as 'loan schemes' by HMRC, then you are subjected to the loan charge for those open years. It seems that one of the Actinium schemes that paid dividends has now been re-classified by HMRC as a loan scheme. That is what I heard was the reason for the recent spate of 'settlement letters' relating to Actinium.

The critical thing here is to find out if you have any 'open investigations' prior to 2010. If you received a brown envelope relating to an investigation in say 2004 to 2008 then that is likely still open. I would hope you can ask HMRC to confirm which years are still open as it seems that those are the only years prior to 2010 to which the loan charge applies. If you were in a 'loan scheme' prior to 2010 but HMRC do not have an open investigation for that year then I dont see how the loan charge can now apply. I would also hope that HMRC would be honest when stating which years are still open for investigations. Some people I knew never received any 'investigation letters' 15 or so years ago(lost in the post maybe ?) but HMRC are saying that there are 'open years' for which they are now liable for the loan charge.

Is it a simple case of phoning HMRC to determine what tax years are still 'open' ?

[DealorNoDeal]

so as far as I am aware - If you have any tax investigations for any years that are still open and they were opened before 2010, and they are classified as 'loan schemes' by HMRC, then you are subjected to the loan charge for those open years.

Sorry, that is wrong. The loan charge only applies to tax years after Dec 2010.

Even if HMRC did reclassify the dividends as loans, they can't use the loan charge against 2004/5/6/7.

[Jumper]

Which is a shame as the loan charge would be a lot cheaper than paid the tax and the interest over for over 15 years!

[handyandy]

I just got closure notice letters (with no changes to return or additional tax due for 05/06 and 07/08.

see here https://forums.contractoruk.com/hmrc...ml#post2949431