Settlement or other options - Darwinpay

[junio]

Hello Members,

Received email from CHD which read..

"We are pleased to advise we have an agreement in principle with HMR&C to offer you what we are a calling our “pre-pack” option."

Anyone knows what is this pre-pack option?

Is CH betraying the contractors and joining hands with HMRC?

I am not in position to pay HMRC, except that they give me atleast 50% reduction, is it something achievable in settlement opportunity,
Also as I read online, HMRC has lost an EBT case against which they still are planning to Appeal, under these circumstances would HMRC send me another notice as my scheme was EBT based aswell.

If I received a notice and wish to appeal against this, what could be the legal costs?

Another option for me would be to declare bankruptcy, I do not own any property neither significant bank balances, I am renting a place, how would this affect me in long run if I plan to emigrate to another country like Australia or US in future?

I am just chalking out what possible options are available .

Regards

[jbryce]

Hello Members,

Received email from CHD which read..

"We are pleased to advise we have an agreement in principle with HMR&C to offer you what we are a calling our “pre-pack” option."

Anyone knows what is this pre-pack option?

Is CH betraying the contractors and joining hands with HMRC?

I am not in position to pay HMRC, except that they give me atleast 50% reduction, is it something achievable in settlement opportunity,
Also as I read online, HMRC has lost an EBT case against which they still are planning to Appeal, under these circumstances would HMRC send me another notice as my scheme was EBT based aswell.

If I received a notice and wish to appeal against this, what could be the legal costs?

Another option for me would be to declare bankruptcy, I do not own any property neither significant bank balances, I am renting a place, how would this affect me in long run if I plan to emigrate to another country like Australia or US in future?

I am just chalking out what possible options are available .

Regards

You're going to deal with a settlement or an APN. I found the CHD letter misleading - it mentions NI and penalties, neither of which may be applicable. They cannot negotiate a better 'deal' with HMRC and I get the impression that they are just trying to bring this to a close with as minimal hassle as possible.

It is interesting to note that CHD are representing users of Sanzar/Garraway/DarwinPay - these schemes were promoted by the same people.
Garraway is still going and continuing to sell their schemes. All very depressing

[terrythomas]

There is a group discussing this

Hi,

Please on this site search for the Thread: HMRC enquiries for EBT schemes through SANZAR
Ask the site admin for PM rights and send a PM to Old Kent Road.

Hope to see you in the closed forum so that discussions can take place out of HMRC's eyesight.

Cheers

Terry

[junio]

thanks for the advise, but what is Old Kent Road?

[StrengthInNumbers]

CHD letter is not factual at all but I guess users of these provider don't have an option. They must have not done this properly and just want contractor to pay. I was in another scheme but at least the provider has put his own money on the table and is going to courts.

[jbryce]

CHD letter is not factual at all but I guess users of these provider don't have an option. They must have not done this properly and just want contractor to pay. I was in another scheme but at least the provider has put his own money on the table and is going to courts.

Not quite so simple. Sanzar was probably am effective scheme - however APNs are a game changer - the effectiveness of the scheme is a moot point.
You either settle or pay the APN.
Is your provider going to pursue your individual case through to an FTT in order to get your money back?
Is your provider going to pursue some form of collective action to an FTT and beyond to get your money back?

[StrengthInNumbers]

Big difference between APN and settlement. APN is payment on account and if you win in court u get the money back. With settlement money is gone - matter done and dusted.

If scheme was implemented correctly and strong why are the promoters not going to court?

No need for an individual case. You form a group and solicitors will file in the applications for all in group. Tribunal will decide that instead for hearing individuals, take a lead case which gets heard.

If scheme was good and promoters helping u guys they would have said if you have money buy tax deposit certificates to save interest. If don't have money start saving and buy asap. When APN comes pay it and then go to tribunal. Here they are recommending to settle and offering in pre pack what is available to all. Also scaring people by saying NI and penalties. Penalties will also happen if u r unable to pay the settlement schedule. First come first served ... my a$$ ... Everyone who wish to settle can settle. HMRC will not say no to money coming in.

As for the legal case first discovery letters were based on loans are not loans. Getting defeated in courts in cases like Rangers, UBS and deutche bank - HMRC has changed to ToAA. no direct precedence in ToAA available. Boyle even all arguments were not discussed. ToAA has very wide reach but we have a strong case against it. I am not a lawyer and might be wrong but for ToAA to apply some avoidance has to happen. If EBT in UK is same as EBT in IoM, then where is avoidance? or under UK LAW HMRC can say EBT in IoM is different? I am sure their are other arguments against ToAA - otherwise why HMRC did not initially came up with it. Settlement letters are the first time HMRC started on ToAA after knowing PAYE on loans will not win.

Whether strong or not but a proper scheme should have a chance in court and I don't see why people should not take it. Even if scheme provider is not around, 1000-1500 contractors together can pool in couple of 100£s to get a silk.

[DonkeyRhubarb]

Also scaring people by saying NI and penalties.

HMRC are saying this to make the settlement seem attractive.

If you take NI & penalties away then basically the settlement is 100% of what they say you owe. Not many people would sign up for that.

Here's something to consider...

Boyle was a rubbish scheme. He went to a tribunal and lost.

Did he end up liable for NI or penalties? Or was it just tax & interest?

[StrengthInNumbers]

HMRC doing this understandable as they don't want to go to court. But contractor help desk saying this to people depending on them is plain evil. They should rename to HMRC help desk

[DonkeyRhubarb]

HMRC doing this understandable as they don't want to go to court. But contractor help desk saying this to people depending on them is plain evil. They should rename to HMRC help desk

Have you paid any money to CHD for this service?