HMRC Enquiry letters on Loans from EBT and other schemes

[DonkeyRhubarb]

Hi DR, about how far into the committee meeting do they talk about this?

Don't know, I haven't actually watched it. We got a report from our lobbying company Whitehouse.

[slatt]

Ok no probs, I'm an hour in and losing the will to live but I'll keep watching and will let you know!

[slatt]

they start talking about retrospective legislation and accelerated payments at about 01:46 into the meeting

[slatt]

And stop at 01:57

Nothing new as far as I can see, the guy asking questions was pulled up short just as it was getting interesting

[turnover]

Some good news

HMRC appeal against Oldco Rangers big tax case ruling dismissed | Glasgow & West | News

[retrodeath]

What's the implication, if any, on other EBT schemes being investigated?

[Indeep]

Grounds for APN appeal

I can understand why people might consider settling to draw a line under all of this but I can't see many other advantages.

There could even be pitfalls.

If you offer to settle now, HMRC are likely to take a much closer look at your affairs to ensure they have assessed all years and the full amounts due. You are very unlikely to get better terms, and you will have to pay interest in addition to tax.

If you wait to receive APNs then you can appeal if you believe the amounts are too high, and you won't have to pay interest. The interest will be frozen and would only become due if a case ever gets to court and HMRC wins.

I'd be interested to hear if anyone can think of any benefits for settling.

HMRC are saying that the model/scheme used by the taxpayer is not valid and have made assessments based on removing this model/scheme and substituting the least tax efficient model in its place. Common sense says that had the taxpayer been aware that the model/scheme was invalid (HMRC could have given this advice as the were informed of the details of all registered schemes) then the taxpayer would have substituted the next most tax efficient model. In my case this would have been a limited company or an umbrella both of which would have been able to offset legitimate expenses against tax, something my scheme did not permit. I would have thought that fairness to the taxpayer would require that retrospective taxation can be offset against retrospective expense claims. Is this not grounds for an APN appeal?

[malvolio]

What's the implication, if any, on other EBT schemes being investigated?

Nope.

Had HMRC won then Yep: they would have taken is as a precedent. Now they'll simply ignore it and start on the next one.

[DonkeyRhubarb]

What's the implication, if any, on other EBT schemes being investigated?

Well, they can't use Rangers as the basis for issuing follower notices.

[LandRover]

Well, they can't use Rangers as the basis for issuing follower notices.

And therefore doesn't the Rangers case set a precedent that can now be referred to in other similar EBT arrangements?