Another Consulting Overseas Victim?

[bigfella]

Sandfield Case

I would be really interested in talking to anyone still involved in the Sandfield case. Things have been too quiet. Please send me a pm. If you cannot contact support to enable the pm function.

Cheers,
Paul.

[dezze]

I would be really interested in talking to anyone still involved in the Sandfield case. Things have been too quiet. Please send me a pm. If you cannot contact support to enable the pm function.

Cheers,
Paul.

This seems to be the way with a number of enquiries into the different schemes. Couple of letters, then nothing for a year or so.

[timbo]

sandfield

yet another victim, paid up 25K to HMRC on the understanding that this was going to be settled by consulting overseas and my savings would be returned!

Its gone too quiet....

[backrubber]

Actinium

I worked through Actinium between Nov 2004 and Feb 2007. Like everyone else, I too receive a letter from the tax man each January saying that he intends to enquire into my tax affairs for the period I was with Actinium.

The first letter I received, which related to the tax year 2004 - 2005, said that they were 'enquiring into my tax affairs', but subsequent letters (2005-2006 and 2006-2007) state that they 'intend to enquire into my tax affairs'. I don't know if there's any significance in the difference of the wording....probably not.

I recently contacted Actinium to see what the current state of play is. They confirmed that about 10 contractors had been written to (by the tax man) requesting their documentation, and that the tax man had also now written to Actinium and to the companies that paid the dividends for additional information.

Actinium also said that they expect the 'enquiry' process to rumble on for some time yet.

Earnings Tracker - Accounting Tool for Contractors and Freelancers

[bigfella]

Sandfield Consulting Overseas Chiltern

Does anybody know of what is going on with Chiltern's defence of Consulting Overseas clients?

[Svalbaard]

Had a friend of mine worked through CO for a while after believing the hype that their scheme was watertight. When he received his inevitable brown envelope from HMRC he phoned CO and all they could offer was a good deal on investigation insurance - lol!!!

He settled with HMRC for £35k before the case went full term.

Pay what you owe - then move on.

[backrubber]

MSC Legislation

The MSC legislation was introduced in April 2007 and forced the closure of most, if not all, MSC schemes. The consultation document, Tackling Managed Service Companies, includes an interesting section:

Transfer of PAYE and NICs debts

4.12 Currently, where HM Revenue and Customs (HMRC) successfully identifies that the Intermediaries legislation applies to an MSC and establishes the PAYE and NICs liability, in practice the debt often cannot be collected. As described in Chapter 2, effective enforcement action to collect the debt is often not possible because these companies generally have no tangible assets and it is easy for the company to be wound up or simply cease trading and for workers to move to a new MSC.

4.13 HMRC currently has powers to transfer debts for PAYE and NICs relating to an individual employee and unpaid by their employer to that employee. However, this requires the employee to have been aware of the employer’s 'wilful' failure to deduct the PAYE due.

Para 4.13 is interesting because it states that if the employee believes that they were paying the correct amount of tax and NI, the debt cannot be transferred to them.

All the employees of Actinium were told that their contracts had been reviewed and that they were not caught by IR35. This was a condition of joining the scheme. Based on this, it is a fair for Actinium employees to believe that they were paying the correct amount of tax and NI, and therefore any resulting tax liability cannot be transferred to them.

The document is available at:

http://www.hm-treasury.gov.uk/d/pbr0...panies_453.pdf

Earnings Tracker - Free Accounting Tool for Contractors and Freelancers

[ChimpMaster]

Had a friend of mine worked through CO for a while after believing the hype that their scheme was watertight. When he received his inevitable brown envelope from HMRC he phoned CO and all they could offer was a good deal on investigation insurance - lol!!!

He settled with HMRC for £35k before the case went full term.

Pay what you owe - then move on.

He "settled"? Does that mean HMRC offered to negotiate a deal with him, or was £35k his full outstanding liability + penalities + fines ?

Just wondering...

[nevergoingtopay]

Had a friend of mine worked through CO for a while after believing the hype that their scheme was watertight. When he received his inevitable brown envelope from HMRC he phoned CO and all they could offer was a good deal on investigation insurance - lol!!!

He settled with HMRC for £35k before the case went full term.

Pay what you owe - then move on.

You can also try www.bn66.co.uk (run by Tim Warr) who may be able to help?

[BrilloPad]

He "settled"? Does that mean HMRC offered to negotiate a deal with him, or was £35k his full outstanding liability + penalities + fines ?

Just wondering...

WHS

If this is another Suo Motu it is extremely interesting.