AM Limited COP8 HMRC Investigation Letter..

[DotasScandal]

However, I think HMRC will dispute that the money is not due, perhaps for many, many years. In my opinion, if HMRC think they are going to lose any of their cases, they will drag out proceedings for years, effectively not paying up.

In all of these retrospective tax actions, HMRC will do their best to keep the money that they think is due, which they've never been allowed to do before. Once they've got it I can't see ever getting any of it back, whatever the rights and wrongs. Every time HMRC are found to have behaved less than respectably, they try and wriggle out of the consequences and there are thousands of cases in the press demonstrating this.

Therefore, I think you've actually got more chance of getting your cash out of a black hole.

My view exactly.

We have seen resistance to progressing things to court as soon as the legislation was passed. That was BEFORE any APNs were sent out, let alone paid. One can only imagine how much worse this attitude will get once the APN money sits in their coffers.

HMRC have bottomless pockets, all the time in the world, and rarely ever get much more than a slap on the wrist when they mess up. Besides, they are not exactly known for restraint when they have decided they do not like an individual or their behaviour...

Therfore, unless we see a very dramatic change in policy, I could easily see this dragging onto the next generation.

At the end of the day, everyone should consider carefully, based on their individual circumstances, whether it is reasonable to surrender their life savings "on account" to HMRC just because HMRC said so.

[jrock]

Received communication from AML that their users have begun to get precursor letters saying APN's will be appearing in the next 4 weeks, but still maintain they are fully on board and will defend their position...really hope that remains the case !!!

My APN precursor letter from HMRC arrived in the post today!


Anyone else received one?

[regron]

Not received mine yet, but only a matter of time!!!

[ads1980]

Yes mine has also arrived in the post today. So in the next 1-6 weeks, we will receive our APN. So what happens next?

[LandRover]

Yes mine has also arrived in the post today. So in the next 1-6 weeks, we will receive our APN. So what happens next?

Obviously AML should be sent a copy and will inform you of the approach they will be taking concerning a JR.

I thought there was suppose to be a an actual case won in the tribunals that HMRC feel warrants giving AML users an APN? It was only after careful consideration that HMRC were to decide what past arrangements had already been ruled on, so what's the argument for citing AML arrangements are similar to?

Methinks scatter gun approach being used now, little consideration given, pay up and HMRC will drag it on and on...

[ads1980]

Obviously AML should be sent a copy and will inform you of the approach they will be taking concerning a JR.

I thought there was suppose to be a an actual case won in the tribunals that HMRC feel warrants giving AML users an APN? It was only after careful consideration that HMRC were to decide what past arrangements had already been ruled on, so what's the argument for citing AML arrangements are similar to?

Methinks scatter gun approach being used now, little consideration given, pay up and HMRC will drag it on and on...

I've just dropped them an email. Nice way to start the week off anyway! Hopefully they are still planning to go ahead with the JR.

[Rab]

Yes mine has also arrived in the post today. So in the next 1-6 weeks, we will receive our APN. So what happens next?

Do you know if the APN will be addressed to you personally or your company?

[ads1980]

Do you know if the APN will be addressed to you personally or your company?

I imagine it will be to me.

[webberg]

Obviously AML should be sent a copy and will inform you of the approach they will be taking concerning a JR.

I thought there was suppose to be a an actual case won in the tribunals that HMRC feel warrants giving AML users an APN? It was only after careful consideration that HMRC were to decide what past arrangements had already been ruled on, so what's the argument for citing AML arrangements are similar to?

Methinks scatter gun approach being used now, little consideration given, pay up and HMRC will drag it on and on...

I'm afraid that you're incorrect and have confused an APN with a FN.

An APN is issued where there is tax in dispute. Challenge against this is limited and there is no independent panel you can go to in order to have the notice withdrawn.

An FN (Follower Notice) is where "in HMRC's opinion" you are relying upon a structure/scheme/arrangement to reduce tax which has already been found against in tribunal or Court and that decision is final. To the best of my knowledge the only contractor case that is final is Boyle and that had a particular set of circumstances likely to be unusual.

The danger here is that either a contractor scheme becomes final (unlikely for a number of years I suggest) or that HMRC use features struck down elsewhere as an excuse.

For example a number of schemes that involve financial instruments have matching (nearly) cashflows but one is said to be relievable for tax and the other not taxable. These schemes have had a mixed set of decisions so far with some working, some deciding that the cash out was not relievable and some that the cash in is taxable.

If HMRC decide that the latter is a feature seen in contractor loan schemes, expect an FN.

Can an FN be appealed? Technically yes http://www.taxjournal.com/tj/article...nalty-15012015 but actually needs very careful consideration given the high penalty (50%) potential.

If and when an FN gets issued I suspect that the legal profession will be licking its lips and looking forward to a bumper crop of fees that will last for years.

Time to first FN - shall we start a sweep? I'm going to day third week of July 2016.

[webberg]

Do you know if the APN will be addressed to you personally or your company?

Good question!

If HMRC take the approach that you have received income that is taxable on you, then it should go to you.

If the approach is that the income was effectively salary from the company to which PAYE should have been applied then it's difficult to see how an APN is appropriate as the company has not had a tax advantage.