Reply to: Have I been Conned?

[MikeC1408]

Have you been ripped off? No

Have you been overcharged? Yes, but you would have agreed to the fee before any advise given surely, so you knew the score.

You can't keep claiming that you wouldn't have known about CT and why would you. YOU were the company director and these things are part of YOUR responsibility.

A bit more upfront research could have saved you money and grief.

[Big Bird]

Very good advice

Wow.

It sounds to me like you misunderstood the advice, heard what you wanted to hear and told him to act immediately.

However, he has seemed to charge you a bit too much for the advice.

You can take him to task for charging too much for the advice. Read up on the sale of goods and services act.

however, any claims of being misled look like they'll be easily refuted.

Be careful not to accuse the advisor of 'conning' you, for he can sue you for libel. You can however broadcast that he is charging extra high fee for the service. You won't get your money back but he may lose business because of your action. You can also use this tactics as a bargining tool to see if you can get some money back.

[NotAllThere]

...lol, what are you doing on a tax forum them? Learning how to pay more?

This is the Accounting/Legal subforum of a Contractor forum. Not a tax forum.

Note: No more or action will be taken.

[northernladuk]

OP. You may be a complete chump when it comes to tax matters but you've got the hang of this forum quickly.

No he hasn't. He is allowed to make himself look a dick in prof forums but can't

Rich coming from me huh!

[psychocandy]

I would need a transcript....

however, he is correct.

He can easily have assumed you already thought of the 20% CT liability as you have an accountant.

Hey what about VAT! I'm surprised you aren't complaining that you also owe VAT...

If you told me you had 100k in "your" account I would also assume that you have already paid all CT and VAT and were looking at a way to get at the 100k.

he overcharged. but most of this looks like misunderstanding on your part.

Exactly. Maybe the guy is a conning dog but hes surely going to assume the £100K is not money already due for CT and VAT....

[JamJarST]

Now I see why you have over 5000 posts you sad, sad man.

Seriously???

[MarillionFan]

Would you mind using punctuation properly in this professional forum?

Now I see why you have over 5000 posts you sad, sad man.

OP. You may be a complete chump when it comes to tax matters but you've got the hang of this forum quickly.

[spud5706]

Would you mind using punctuation properly in this professional forum?

Now I see why you have over 5000 posts you sad, sad man.

[Old Greg]

Learn to spell before you 'embarass' yourself anymore as well, like someone said earlier you might bend over and take it I won't!

Would you mind using punctuation properly in this professional forum?

[jmo21]

When something seems to good to be true.....

Look, it's pretty clear that a reputable 'advisor' would have clarified 'what' the money was first.

So either he did not ask that question, or the OP misunderstood him when he did ask that question.

Without a transcript, we can only take the OP's word for it.

How did he break the 'news' to you!

Did it just appear in a worked calculation? Or did he phone you and say 'by the way you didn't tell me you hadn't paid your Corp tax yet'?

[northernladuk]

Learn to spell before you 'embarass' yourself anymore as well, like someone said earlier you might bend over and take it I won't!

I think you have already done that. Bit late now.

But good for you.. all I am saying so go rip him another ahole... but leave the public forum alone for now..

Just my bit of advice to you thats all. Feel free to ignore it.

[spud5706]

Well we have tax for this and tax for that...Just call it Idiot Tax. Duely paid and it seems unarguable. Close the issue, let it lie and don't embarass yourself any further. Everything that needs to be said on this has been. You are just gonna get flack from here on in.

Learn to spell before you 'embarass' yourself anymore as well, like someone said earlier you might bend over and take it I won't!

[northernladuk]

Well we have tax for this and tax for that...Just call it Idiot Tax. Duely paid and it seems unarguable. Close the issue, let it lie and don't embarass yourself any further. Everything that needs to be said on this has been. You are just gonna get flack from here on in.

[MarillionFan]

Ok look, listen really hard. YOU have not lost £6000 for a start. You say your company was invoiced so this is a company expense. So your COMPANY has paid £6000. The cost to YOU is less. If you wanted to take out that £6000 not as an expense, then you would have to take it as salary, dividend or pension etc. and as you are now aware you would have to pay corporation tax on the amount as it is profit. So immediately the cost to you is £6000-20%. Lets assume you took the remaining £4800 as capital gains as the advisor advised then the cost to you is £4800-10%.

So I have just saved YOU £1680 by explaining the difference between your money and the company's ) So the advice cost you at most £4800 and probably less, e.g. if you were a higher rate tax payer taking that £6000 as dividends then you would only get around £3600, i.e. the cost to YOUR COMPANY for the advice is £6000 but the loss from YOUR POCKET is only £3600.

Btw If you're married and your wife doesn't work you could income split and get the £80k (£100-corp tax) out tax free. Read the contraction guides on the PCG etc.. it's all in them.

He's right you know.

What you should have been told to do was to max out your expenses for the year(you never mentioned that). Travel, mileage, hotels, internet, food, computers. Then any home office rental, new suit, car, travel abroad for training etc. Then hired your spouse, 2xsalaries(she does your book-keeping see). Add her as a share holder as well. That would have reduced your overall corp tax liability. Then you could have taken the rest out as a divvies and loans. And for that I only charge £4k.

[Lewis]

@wodewick, lol quite funny lets see how you react when someone steals £6k off you I'm sure you will be quite happy, but on a serious note thx for the advice and yes unless he is not bothered about his business reputation I think I will get my money back.

Ok look, listen really hard. YOU have not lost £6000 for a start. You say your company was invoiced so this is a company expense. So your COMPANY has paid £6000. The cost to YOU is less. If you wanted to take out that £6000 not as an expense, then you would have to take it as salary, dividend or pension etc. and as you are now aware you would have to pay corporation tax on the amount as it is profit. So immediately the cost to you is £6000-20%. Lets assume you took the remaining £4800 as capital gains as the advisor advised then the cost to you is £4800-10%.

So I have just saved YOU £1680 by explaining the difference between your money and the company's ) So the advice cost you at most £4800 and probably less, e.g. if you were a higher rate tax payer taking that £6000 as dividends then you would only get around £3600, i.e. the cost to YOUR COMPANY for the advice is £6000 but the loss from YOUR POCKET is only £3600.

Btw If you're married and your wife doesn't work you could income split and get the £80k (£100-corp tax) out tax free. Read the contractor guides on the PCG site (www.pcg.org.uk) etc.. it's all in them.