Inquiry about loan EBT - IQ Contracts

[cojak]

HMRC will consider your loan amount as income and will add to the salary you got already got paid. Based on the total income relevant tax will be applied. They will also apply interest for late payments. In some cases they will apply penalties also.

Hope this answers your query.

I’m not quite sure why you guys are answering a 2 year old thread. The OP hasn’t been back since...

[BrilloPad]

Get advice from a professional.
Most of the users on here are not tax professionals so treat anything they say as bollocks.

Advice is worth what you pay for it.

[webberg]

this is not entirely true specially when you are in the same situation

I think that the point is that not only are the tax professionals here a slim percentage of the total posters, but that those who are here may not always have the sort of knowledge needed.

Most tax professionals are happy to share their background and experience if asked (sometimes if not asked) and you should therefore do at least this much due diligence.

[RJJ85]

Get advice from a professional.
Most of the users on here are not tax professionals so treat anything they say as bollocks.

this is not entirely true specially when you are in the same situation

[ConfusedEasily]

Get advice

Get advice from a professional.
Most of the users on here are not tax professionals so treat anything they say as bollocks.

[RJJ85]

HMRC will consider your loan amount as income and will add to the salary you got already got paid. Based on the total income relevant tax will be applied. They will also apply interest for late payments. In some cases they will apply penalties also.

Hope this answers your query.

Hello,

I have been send a tax return inquiry by HMRC (Section 9a). I was working with IQ contracts as my umbrella company from Jun 2014 to Mar 2015 (9 months). IQ contracts used the loan scheme to pay me. And HMRC now wants to inquire because they state that, i owe tax on loans received.
The total amount of loan incurred during the time was £27,500.
I have gone through many posts in this forum regarding same issue with no solution.
I would like to know -
1) How much tax i would have to pay on the £27,500 amount of loan? also how much penalty HMRC could issue on me?
2) If i could get a back dated letter from IQ stating that - I have left their company in march and the loan has been waived off. Then the loan becomes taxable for 2015-2016 year. So i still have time to pay tax on this amount and avoid any penalty by HMRC. Could this be a possible solution? Also if i have to pay tax then how much tax would i owe on £27,500 as a taxable loan?

Please advise.
Anwesha.

[needmorstuff]

I believe if the loan value total is less than 10k you don't need to declare it. Did you rack up 10k loans in those three months.

[pudding]

Self Assesment request

Hi Guys,

New to the forum and have been reading up for the last few hours.

Back in 2013 I used IQ contracts for about 3 months, I have now been asked by HMRC for a self assessment. Due to certain circumstances I have not bee able to work full time since 2011 hence the 3 month contract. They did pay me in loans and salary. I have been on contact with them and they refferred me to CHS, whom in return said they would help but as of yet there is no inquiry on me. Plus they want to charge me for the pay slips, P60, P45.

I havent completed the self assessment yet as want to do my research. Has anyone else been charged by CHS for documents? Also, as it was a loan should I declare this? Any help would be appreciated.

[pudding]

Hello,

I have been send a tax return inquiry by HMRC (Section 9a). I was working with IQ contracts as my umbrella company from Jun 2014 to Mar 2015 (9 months). IQ contracts used the loan scheme to pay me. And HMRC now wants to inquire because they state that, i owe tax on loans received.
The total amount of loan incurred during the time was £27,500.
I have gone through many posts in this forum regarding same issue with no solution.
I would like to know -
1) How much tax i would have to pay on the £27,500 amount of loan? also how much penalty HMRC could issue on me?
2) If i could get a back dated letter from IQ stating that - I have left their company in march and the loan has been waived off. Then the loan becomes taxable for 2015-2016 year. So i still have time to pay tax on this amount and avoid any penalty by HMRC. Could this be a possible solution? Also if i have to pay tax then how much tax would i owe on £27,500 as a taxable loan?

Please advise.
Anwesha.

Did you declare the loans on your SA?

[eek]

Hello,

I have been send a tax return inquiry by HMRC (Section 9a). I was working with IQ contracts as my umbrella company from Jun 2014 to Mar 2015 (9 months). IQ contracts used the loan scheme to pay me. And HMRC now wants to inquire because they state that, i owe tax on loans received.
The total amount of loan incurred during the time was £27,500.
I have gone through many posts in this forum regarding same issue with no solution.
I would like to know -
1) How much tax i would have to pay on the £27,500 amount of loan? also how much penalty HMRC could issue on me?
2) If i could get a back dated letter from IQ stating that - I have left their company in march and the loan has been waived off. Then the loan becomes taxable for 2015-2016 year. So i still have time to pay tax on this amount and avoid any penalty by HMRC. Could this be a possible solution? Also if i have to pay tax then how much tax would i owe on £27,500 as a taxable loan?

Please advise.
Anwesha.

We don't know as it will depend on how HMRC are doing their calculations and what basis they are using...

If you want advice you probably need to speak to Big Group see the sticky thread at the top who are in a better position to tell you what the situation is and may be negotiating a settlement plan (I don't know as I saw through the schemes when they first appeared)..

[anwesha]

Hello,

I have been send a tax return inquiry by HMRC (Section 9a). I was working with IQ contracts as my umbrella company from Jun 2014 to Mar 2015 (9 months). IQ contracts used the loan scheme to pay me. And HMRC now wants to inquire because they state that, i owe tax on loans received.
The total amount of loan incurred during the time was £27,500.
I have gone through many posts in this forum regarding same issue with no solution.
I would like to know -
1) How much tax i would have to pay on the £27,500 amount of loan? also how much penalty HMRC could issue on me?
2) If i could get a back dated letter from IQ stating that - I have left their company in march and the loan has been waived off. Then the loan becomes taxable for 2015-2016 year. So i still have time to pay tax on this amount and avoid any penalty by HMRC. Could this be a possible solution? Also if i have to pay tax then how much tax would i owe on £27,500 as a taxable loan?

Please advise.
Anwesha.