Edge EBT thread

[DonkeyRhubarb]

I have used Andrew before and he would be one of those I'd suggest considering if it becomes necessary.

Whoever said he won't be cheap though isn't lying. Six figures for just the FTT.

If it helps, in my proposal I say that I have access to the opinions of two silks on arrangements very similar to Edge. One is from Thornhill the other another QC in his chambers.

That's why ideally you want hundreds of Edge users joining the Group.

Edge themselves should make a contribution to the fighting fund. If they are unwilling to do this then at the very least they should write to all their users making them aware of the Group.

It might even be worth knocking up a website like our's, even if it's just to point people to a Group contact.
No To Retrospective Taxation | Campaign Against Retrospective Tax Legislation

[bstar1]

That's why ideally you want hundreds of Edge users joining the Group.

Edge themselves should make a contribution to the fighting fund. If they are unwilling to do this then at the very least they should write to all their users making them aware of the Group.

It might even be worth knocking up a website like our's, even if it's just to point people to a Group contact.
No To Retrospective Taxation | Campaign Against Retrospective Tax Legislation

Agreed, with restricted access to all subscribed members
...tally of funds at disposal, private forum, etc etc

[TheDandy]

Agreed, with restricted access to all subscribed members
...tally of funds at disposal, private forum, etc etc

[SimonJones]

You've hit the nail on the head.

And don't forget, a new law was introduced in Dec 2010 to specifically close these arrangements. If the previous law was sufficient why did they need a new one?

This is a very good point. The new legislation was introduced in December 2010, so the tax year 2009/2010 would fall under this new regulation. What I can't understand is how can they take this new regulation retrospectively back to the tax year 2008/2009! Surely, this can't be legal!

[SimonJones]

The company AML operates ebt scheme and are still actively running.
Do any of the AML members know how their employer is going about this matter?

[benvaughan]

Mapatui

My prime concern is a situation where Mapatui somehow run into trouble and claim the amount of the loan back.

In the UK, if you close a company, its assets belong to the government.

What about a company registered in the Isle of Man?

[TheDandy]

This is a very good point. The new legislation was introduced in December 2010, so the tax year 2009/2010 would fall under this new regulation. What I can't understand is how can they take this new regulation retrospectively back to the tax year 2008/2009! Surely, this can't be legal!

That's because they are not taking this legislation and applying it retrospectively. I think if the legislation you refer to was implemented effectively from December 2010 then that would be pretty much midway 2010-2011 tax year so surely not applicable for 2009-2010 either if I follow your reasoning.

HMRC will say, and by all accounts have been saying that, in their opinion, the employment arrangements have never worked. Of course it probably needs use of some recreational chemicals to get ones head around the idea that new legislation is needed for an arrangement that never worked in the first place......

[varunksingh]

My prime concern is a situation where Mapatui somehow run into trouble and claim the amount of the loan back.

In the UK, if you close a company, its assets belong to the government.

What about a company registered in the Isle of Man?

I am not sure about Edge but in my scheme loans were from and EBT - A trust which is different than a company and have a very long life like 99years etc. So Edge could close down but if it had an Edge EBT then that should still exist.

[DonkeyRhubarb]

HMRC will say, and by all accounts have been saying that, in their opinion, the employment arrangements have never worked. Of course it probably needs use of some recreational chemicals to get ones head around the idea that new legislation is needed for an arrangement that never worked in the first place......

One thing we have learned over the past 5 years is that HMRC will say anything to support their position, no matter how absurd or untrue.

Finance Act 2008: 17 Jul 2012: Hansard Written Answers - TheyWorkForYou

"UK residents are taxable on their worldwide income wherever it arises, including situations where it arises by way of foreign partnerships. Section 58 of Finance Act 2008 was enacted to help put that beyond doubt and in so doing, made clear that a wholly artificial tax avoidance scheme involving a foreign partnership comprised of foreign trustees did not work. As section 58 retrospectively clarified existing legislation, its introduction had no affect on any taxpayer's tax position."

[cojak]

The company AML operates ebt scheme and are still actively running.
Do any of the AML members know how their employer is going about this matter?

http://forums.contractoruk.com/hmrc-...on-letter.html