HMRC Enquiry letters on Loans from EBT and other schemes

[creativity]

Only a handful of countries have a DTA with the UK which provides for debt recovery.
DMBM560230 - Debt and return pursuit: foreign cases: Mutual Assistance in the Recovery of Debt (MARD) (non-EU countries): scope of the MARD provisions

It's more straightforward for HMRC if you reside in the EU where there is a MARD agreement between member states.
DMBM560030 - Debt and return pursuit: foreign cases: Mutual Assistance in the Recovery of Debt (MARD) (EU States): referring cases to the MARD team
DMBM560015 - Debt and return pursuit: foreign cases: Mutual Assistance in the Recovery of Debt (MARD) (EU States): about the agreement

It's best to seek legal advice on this in your country of residence.

The best option is to move away (rather than go bankrupt) and not tell HMRC where you have gone. Let them search or sell the debt on - they have six years to find you. Do not tell your neighbours, change your bank and do not give anyone a forwarding address. Don't advertise your new residence on social media sites. Inform your closest relatives not to divulge any information to anyone.

Try not to move to EU, Faroe islands, south Africa or new Zealand as these countries have an MAU with UK so IF the debt collector does locate you they could get in correspondence with you.

Other than that many people successfully leave the UK and all debts behind. I would recommend this over bankruptcy - move away and start afresh - you can always come back in 6 to 7 years! Just don't tell anyone especially ANY government agencies.

[smalldog]

The best option is to move away (rather than go bankrupt) and not tell HMRC where you have gone. Let them search or sell the debt on - they have six years to find you. Do not tell your neighbours, change your bank and do not give anyone a forwarding address. Don't advertise your new residence on social media sites. Inform your closest relatives not to divulge any information to anyone.

Try not to move to EU, Faroe islands, south Africa or new Zealand as these countries have an MAU with UK so IF the debt collector does locate you they could get in correspondence with you.

Other than that many people successfully leave the UK and all debts behind. I would recommend this over bankruptcy - move away and start afresh - you can always come back in 6 to 7 years! Just don't tell anyone especially ANY government agencies.

not sure how "running away" works if you come back to the UK for a visit to see relatives etc. Cant imagine the border agency wouldnt have flags on their systems to escort you to a private room when you land in heathrow where a nice HMRC rep will come and pay you a visit. So for me its never an option unless I totally accept that I can never come back to the UK for any reason.

[bandemelbs]

Above links are broken / not working, but that's hardly a surprise being HMRC. Anyway, country in question is Down Under with address changed but it's to a mailbox (not a physical address).

Not sure how any of this becomes a criminal matter, as mentioned above. If I don't / can't enter the UK again then it's no skin off my nose. In fact, this whole exercise has convinced me that plans for future overseas assignments will be considered anywhere but the UK and they will never see another penny, either as part of this debacle or from any future earnings. What a mess.

[CanPayButWouldRatherNot]

not sure how "running away" works if you come back to the UK for a visit to see relatives etc. Cant imagine the border agency wouldnt have flags on their systems to escort you to a private room when you land in heathrow where a nice HMRC rep will come and pay you a visit. So for me its never an option unless I totally accept that I can never come back to the UK for any reason.

meet the relatives in Paris or Dublin ?

[creativity]

not sure how "running away" works if you come back to the UK for a visit to see relatives etc. Cant imagine the border agency wouldnt have flags on their systems to escort you to a private room when you land in heathrow where a nice HMRC rep will come and pay you a visit. So for me its never an option unless I totally accept that I can never come back to the UK for any reason.

You will NOT be met by border guards. Don't be rediculous, you are not a criminal nor would they put you on the border identify system. Many people do this all the time.
You can visit whenever you wanted with no problems. If you are paranoid I suggest stop in France and train it or use the next ferry lol. BTW after six years the debt can be struck off on your request so don't be so over-dramatic. This is a valid get-out for those who need it.

[DonkeyRhubarb]

Escaping your debts via emigration

Emigrate to escape your debts. Leave your debt behind | Debt Secrets

[James Anthony]

Above links are broken / not working, but that's hardly a surprise being HMRC. Anyway, country in question is Down Under with address changed but it's to a mailbox (not a physical address).

Not sure how any of this becomes a criminal matter, as mentioned above. If I don't / can't enter the UK again then it's no skin off my nose. In fact, this whole exercise has convinced me that plans for future overseas assignments will be considered anywhere but the UK and they will never see another penny, either as part of this debacle or from any future earnings. What a mess.

The ATO and HMRC have a tax treaty in place (not the double taxation treaty) whereby either authority, if requested to do so, can collect a tax debt on behalf of the other and treat it as though it was a tax debt of their own. It wouldnt be dealt with as civil recovery (3rd party debt collectors) nor would it be a criminal matter.

If the ATO and HMRC agreed to invoke the treaty it would be the same as owing a debt to the ATO. If you couldnt pay, they would bankrupt you in Aus.

I would be very keen to find out how many times this power has been used and if it is used as a matter of course or only in extreme (criminal) circumstances.

[creativity]

Emigrate to escape your debts. Leave your debt behind | Debt Secrets

Yes a good link.
If I were considering this I would attempt to leave before the 90 day payment demands. Also ensure you do it stealthily so don't tell neighbours, employers or the council. If they do manage to trace you then suggest £5 per week. You could also continue trading your UK LTD company, good idea to change your directors address of course. To an accountants or PO box number.

[DonkeyRhubarb]

The ATO and HMRC have a tax treaty in place (not the double taxation treaty) whereby either authority, if requested to do so, can collect a tax debt on behalf of the other and treat it as though it was a tax debt of their own. It wouldnt be dealt with as civil recovery (3rd party debt collectors) nor would it be a criminal matter.

If the ATO and HMRC agreed to invoke the treaty it would be the same as owing a debt to the ATO. If you couldnt pay, they would bankrupt you in Aus.

I would be very keen to find out how many times this power has been used and if it is used as a matter of course or only in extreme (criminal) circumstances.

If you wanted to be totally out of HMRC's reach then you'd probably need to move to more "exotic" countries.

Unfortunately, these might not be places that you would want to live.

[smalldog]

You will NOT be met by border guards. Don't be rediculous, you are not a criminal nor would they put you on the border identify system. Many people do this all the time.
You can visit whenever you wanted with no problems. If you are paranoid I suggest stop in France and train it or use the next ferry lol. BTW after six years the debt can be struck off on your request so don't be so over-dramatic. This is a valid get-out for those who need it.

I assume you response is based on a level of knowledge on the subject?

Maybe not today, but maybe next month, next year, who knows. Its only a small step for HMRC to get in touch with border chaps and chapesses. They are all part of the same fun family that now work together to recover overseas assets associated with criminality, that can easily be expanded to include tax debts to the crown which is pretty serious. Personally I dont think its such a giant step for them to do something like this and I wouldnt want to be approaching passport control everytime wondering if Im gonna be pulled and have my passport confiscated until I pay my tax bill!

Who knows what HMRC are capable of over time, they can demand payment in advance, they can raid bank accounts at will, why not look for people owing crown money upon arrival into the country, no biggie really.