HMRC enquiries for EBT schemes through SANZAR

[lilikins1]

Fishing expedition

[EBTContractor]

Fishing expedition

indeed

[MrO666]

Fishing expedition or not, once you start getting letters like that then you are well and truly on HMRC's radar, so just be mindful of that.

Personally...........in these Tax Avoidance hating times, if I got a letter like that I would start saving on the off chance a fishing expedition turned into a haul. You only need to look at the news to see that any form of avoidance is now being vilified (they'll be targeting ISA's next ). It's clear that whoever gets into power in May will be tackling tax and so called avoidance (at all levels) as a high priority.

I guess what I'm saying is, don't think HMRC are stupid.......they may be lazy, inept and institionalised, but they're not stupid. After all, as much as all of us believe things like APN's and FN's are evil, from HMRC's point of view they're delivering what they intended.

We all know that out of every 10 schemes which get hit with APN's, I would guess that only 1 or 2 will ever get to court, as most people just don't have the funds to fight them. So from that perspective HMRC clearly aren't stupid are they.

[jbryce]

Fishing expedition or not, once you start getting letters like that then you are well and truly on HMRC's radar, so just be mindful of that.

Personally...........in these Tax Avoidance hating times, if I got a letter like that I would start saving on the off chance a fishing expedition turned into a haul. You only need to look at the news to see that any form of avoidance is now being vilified (they'll be targeting ISA's next ). It's clear that whoever gets into power in May will be tackling tax and so called avoidance (at all levels) as a high priority.

I guess what I'm saying is, don't think HMRC are stupid.......they may be lazy, inept and institionalised, but they're not stupid. After all, as much as all of us believe things like APN's and FN's are evil, from HMRC's point of view they're delivering what they intended.

We all know that out of every 10 schemes which get hit with APN's, I would guess that only 1 or 2 will ever get to court, as most people just don't have the funds to fight them. So from that perspective HMRC clearly aren't stupid are they.

Yup, HMRC will issue 40,000+ APNs - if 20% go to court, 20% end up in insolvency then HMRC will be hiring a lot of people to clear up the mess. That mess will, however, have delivered 60% of the cash - that's a pretty good return.

This only related to DOTAS schemes, these will then be followed by the non DOTAS schemes, some of which are going to be hard for HMRC to crack pre-GAAR. Post 2013 though - if you're using a form of avoidance you need to be pretty convinced that your scheme is watertight because HMRC and the GAAR are coming for you.

[MrO666]

Post 2013 though - if you're using a form of avoidance you need to be pretty convinced that your scheme is watertight because HMRC and the GAAR are coming for you.

.......and we all know that what may be watertight today doesn't for a second mean it'll be water tight tomorrow............

Personally, I think anyone who's not using a Ltd Co must be crazy, have huge cahoonas or have a plan to run away to Brazil.

The way I see it is yes HMRC can still try and shake you down if you have an Ltd, however the rules in which they need to play are VERY well defined, they can't make it up as they go along (as they can with avoidance). Also, the powers that be wouldn't just start messing about with Ltd Co rules on the fly as the potential impact and fallout would be huge to say the least. The worst they could really do is argue over some expenses. That or hit with you IR35, but providing you're insured against it then I couldn't care less.

Each to their own, but I for one don't want a repeat of this s*** fest in 10 years time...........

[jbryce]

.......and we all know that what may be watertight today doesn't for a second mean it'll be water tight tomorrow............

Personally, I think anyone who's not using a Ltd Co must be crazy, have huge cahoonas or have a plan to run away to Brazil.

The way I see it is yes HMRC can still try and shake you down if you have an Ltd, however the rules in which they need to play are VERY well defined, they can't make it up as they go along (as they can with avoidance). Also, the powers that be wouldn't just start messing about with Ltd Co rules on the fly as the potential impact and fallout would be huge to say the least. The worst they could really do is argue over some expenses. That or hit with you IR35, but providing you're insured against it then I couldn't care less.

Each to their own, but I for one don't want a repeat of this s*** fest in 10 years time...........

....and there's legit Umbrellas as well.......

[DonkeyRhubarb]

This only related to DOTAS schemes, these will then be followed by the non DOTAS schemes, some of which are going to be hard for HMRC to crack pre-GAAR.

The APN legislation applies to schemes which were notifiable under DOTAS. Just because a scheme wasn't notified doesn't mean it wasn't notifiable. I'm sure HMRC's view is that every scheme should have been notified.

In theory, they could issue APNs to "non DOTAS" schemes by arguing that they should have been notified.

[MrO666]

....and there's legit Umbrellas as well.......

Of course

[forescore2004]

HMRC letter Sanzar

Hi Old Kent Road,

Im new to this forum and not sure how to PM you. I'd like to join the Sanzar private forum as I have a few questions I'd like to ask and desperately need as much information as possible. Could you please add me?

[administrator]

Hi Old Kent Road,

Im new to this forum and not sure how to PM you. I'd like to join the Sanzar private forum as I have a few questions I'd like to ask and desperately need as much information as possible. Could you please add me?

Hi forescore2004 - I have upgraded your account so that you can now PM Old Kent Road. Just find a post of his and click his name and you will see a link to "Send Private Message".