Edge EBT thread

[cap]

Settlement letter received - was this this because I submitted a P11D?

I was with Edge/Norla for a few months back in 2010 and filed an P11D that tax year. I received a notice of investigation in July 2012, then a loan settlement offer letter a month or so ago.

I'd be interested to know if anyone had received a settlement offer letter who hadn't filed a P11D for that year. Is that the only way HRMC have been able to track you down?

[gettingangry]

Settlement Figure

Finally got a reply after 10 weeks of waiting.
They have given me figures for 2005-6, 2008-9, 2009-10 and 2010-11.
2006-7 and 2007-8 they say that they failed to protect their position. They also say that there are no "current" Inheritance tax charges.

I never received any notice regarding 2005-2006 and that they must be joking about adding this and the interest for which they kindly provided a breakdown. Going back a staggering 2825 days the interest rate charged varied between 2.5% to 8.5%.

On the final page they breakdown the amount of tax due for each year 2005-6 and 2010-11 are listed as type ENQUIRY, 2008-9 and 2009-10 are listed as type ASSESSMENT. Any one any idea what this means?

Also regarding not taking the settlement opportunity ... they say "
... we assume you are not interested in taking the settlement opportunity. We will then continue to gather evidence on your case as we proceed towards the Tribunal"

[Rob79]

I was with Edge/Norla for a few months back in 2010 and filed an P11D that tax year. I received a notice of investigation in July 2012, then a loan settlement offer letter a month or so ago.

I'd be interested to know if anyone had received a settlement offer letter who hadn't filed a P11D for that year. Is that the only way HRMC have been able to track you down?

HMRC has one of the best individual tracking and finding systems in the world. They have a sophisticated cross referencing system that pulls together info from third parties, public records (polling register) and in some rare instances, financial records. Normally HMRC is not able to receive information on financial records (credit cards etc) but can do in cases of serious offences.

It would not surprise me to find that they have asked the IOM Financial Services Commission to ask companies there to send them names and addresses etc.

[Talgarth]

Finally got a reply after 10 weeks of waiting.
They have given me figures for 2005-6, 2008-9, 2009-10 and 2010-11.
2006-7 and 2007-8 they say that they failed to protect their position. They also say that there are no "current" Inheritance tax charges.

I never received any notice regarding 2005-2006 and that they must be joking about adding this and the interest for which they kindly provided a breakdown. Going back a staggering 2825 days the interest rate charged varied between 2.5% to 8.5%.

On the final page they breakdown the amount of tax due for each year 2005-6 and 2010-11 are listed as type ENQUIRY, 2008-9 and 2009-10 are listed as type ASSESSMENT. Any one any idea what this means?

Also regarding not taking the settlement opportunity ... they say "
... we assume you are not interested in taking the settlement opportunity. We will then continue to gather evidence on your case as we proceed towards the Tribunal"

Does that mean that they are not asking you to pay for 2006-07 and 2007-08 if you follow the settlement opportunity path?

[Rob79]

Does that mean that they are not asking you to pay for 2006-07 and 2007-08 if you follow the settlement opportunity path?

It means that they're out of time and will not be able to collect tax from that year at all.

[Talgarth]

It means that they're out of time and will not be able to collect tax from that year at all.

So they can ask for years previous and later but not those? I thought that if there was a DOTAS number then they were clear to chase us? If so, why are those years not protected?

[cojak]

And they are still reeling them in...

http://forums.contractoruk.com/accou...questions.html

[Rob79]

So they can ask for years previous and later but not those? I thought that if there was a DOTAS number then they were clear to chase us? If so, why are those years not protected?

1. Yes
2. No
3. don't understand

[Talgarth]

1. Yes
2. No
3. don't understand

Thanks. My confusion is to why it is that HMRC have said that they haven't preserved a position for 2 years in the middle of the lifetime of the scheme. I thought that all the press was talking about HMRC chasing any schemes that were DOTAS registered. I may contact them and check what years they are actually investigating me for.

[Rob79]

Thanks. My confusion is to why it is that HMRC have said that they haven't preserved a position for 2 years in the middle of the lifetime of the scheme. I thought that all the press was talking about HMRC chasing any schemes that were DOTAS registered. I may contact them and check what years they are actually investigating me for.

The press reporting of this situation is usually inaccurate and designed to sell newspapers rather than inform.

In order to preserve the right to make adjustments to your tax position for any particular year, HMRC needs to have made an enquiry and advised you of such. If they don't do this within certain time limits, they have no right to go back (unless there is "discovery" or fraud).

IN order for an APN to be issued, there needs to be an open year AND a DOTAS number.

Get something in writing from HMRC as to which years they consider are open and if you have doubts, ask them to provide proof.