Reply to: STAR

[SimonJones]

It's a confusing letter, no doubt about that. Although i'm struggling through this stuff myself, I am happy at least to share my experience. I was in DeGraaf in 06-08 and only that scheme (like someone else, it was my first contract and i was tricked into signing up, not that it makes much difference now). I declared the details in my returns (as DG instructed me to do) at the time.
I rang the HMRC number at the top of the letter just now. The man was helpful. Everyone's situation is different, sure, but we all get the same letter regardless he said. He confirmed to me that they did indeed know all about DeGraaf, I had supplied all the info previously and (as i confirmed I was not in any other schemes) he therefore confirmed that I had already made a full disclosure. So i filled in box 3 and sent back. (I do so hope that will be the end of it).

From what I gather, and assuming you haven't already thrown in the towel and settled with them (via the FN letter form), then one of the other options would apply, 1 or 2, which seem to be either supply them now with all your details & figures etc of all the schemes you were in, or promise to supply it soon. If you have thrown in the towel and settled with FN before 6th, I think it will get you off the hook filling in the STAR form - but i'm not sure, you better check that out with them.

I should add that in all their recent letters, the tone is very much that we are being herded towards throwing in the towel and settling up, and if we do and pay up, all the pain will stop. (Nice if you can pay).

Thank you for the info. In my case, I've haven't received any letter from HMRC.
I was just wondering whether I need to write to them before the 6th explaining that I've only been on one scheme. The loans are all declared in the P11(d) to HMRC. The question in essence is, do I still have to write a follow-up letter as well?

[DotasScandal]

I should add that in all their recent letters, the tone is very much that we are being herded towards throwing in the towel and settling up, and if we do and pay up, all the pain will stop. (Nice if you can pay).

Behavioural Insight Ltd 's fingerprints all over it.
I wonder how much tax money goes to these thugs to craft these social engineering strategies.

[outofthesand]

What i know/have figured out

It's a confusing letter, no doubt about that. Although i'm struggling through this stuff myself, I am happy at least to share my experience. I was in DeGraaf in 06-08 and only that scheme (like someone else, it was my first contract and i was tricked into signing up, not that it makes much difference now). I declared the details in my returns (as DG instructed me to do) at the time.
I rang the HMRC number at the top of the letter just now. The man was helpful. Everyone's situation is different, sure, but we all get the same letter regardless he said. He confirmed to me that they did indeed know all about DeGraaf, I had supplied all the info previously and (as i confirmed I was not in any other schemes) he therefore confirmed that I had already made a full disclosure. So i filled in box 3 and sent back. (I do so hope that will be the end of it).

From what I gather, and assuming you haven't already thrown in the towel and settled with them (via the FN letter form), then one of the other options would apply, 1 or 2, which seem to be either supply them now with all your details & figures etc of all the schemes you were in, or promise to supply it soon. If you have thrown in the towel and settled with FN before 6th, I think it will get you off the hook filling in the STAR form - but i'm not sure, you better check that out with them.

I should add that in all their recent letters, the tone is very much that we are being herded towards throwing in the towel and settling up, and if we do and pay up, all the pain will stop. (Nice if you can pay).

[SimonJones]

https://www.gov.uk/government/public...special-regime

According to the link... it reads that "Any scheme that HMRC defeats on or after 6 April 2017 will be issued with warning notices, unless they advise HMRC before 6 April 2017 of their firm intention to relinquish their position and settle their case.", has anyone taken an action to write or thinking of writing to HMRC? Is it advisable to contact them?

[samson]

star4

hey 2BA,

these are two separate issues you are talking about here from my understanding. What you are talking about is taking whats called corrective action, which is not the same as the response that's required for the STAR4. Please someone correct me if I'm talking BS because i'm also trying to figure this all out.

Taking corrective action in response to your APN's and FN's is when you basically throw in the towel and withdraw your appeal against retrospective tax. This means you agree to pay and yes its over.

These STAR letters require a different response I believe and this part is whats confusing me also. There is one page which has 3 options part 1 2 or 3 which we somehow need to complete. Does anyone out there have any more information about what exactly is required and how to respond to this STAR4 notice ? I believe I need to fill out part 3 because I have only ever been with Montpelier's IR35 scheme and they have all the details about that involvement through the SA submitted by Montpelier but does that mean I just sign and date "part 3" and send that one page back to them ?
.. which is also a problem because I live abroad so do I just post from abroad

[2BA]

I gave them a ring today & there's a form attached to a follower notice sent separately which you need to sign to say you're withdrawing any appeals against retrospective tax.
They're sending me details of how much that relates to for me.

What's happened with the retrospective tax issue? Everything's gone quiet. I assume if I sign the form that's that, game over, hmrc have successfully changed history?

[mossman]

STAR

I got a STAR letter too. It talks about making a disclosure on from STAR4, but no such form is enclosed. I can't make head nor tail of the letter. I rang the number on the letter and asked a few questions. They got a STAR specialist to ring me back. If my understanding is correct I don't need to do anything about the STAR letter as I'm awaiting a reply to my LoR (but who knows if that's correct).

[zal]

I received a STAR too. Sigh ...

[phileds]

Indeed, the strange parallel universe of HMRC and various time-travelling Finance Bills.

[BrilloPad]

I too am a STAR!

Interesting how they define serial as once. So I feel a bit of as fraud. I will wear my STAR like I wear my ASBO though....

[phileds]

I received a HMRC STAR letter this morning from "Nick Driver". Utterly confusing.

The letter mentions the Corrective Action and Follower Notice letters many received recently, but appears to be unconnected to them other than (if I understand correctly) if you have taken Corrective Action, STAR will not apply to you. I think.

The following I hope is a reasonably accurate paraphrase of the letter - it's my attempt at understanding it, but perhaps someone trained in tax and legal bullsh*t can help clarify further.

From what I gather, STAR applies to tax avoidance schemes which were active before 15 Sept 2016 and "defeated" after 6 April 2017, unless details of the scheme have been disclosed to HMRC before 6 April 2017. As far as I know, the "Montpelier IR35 Arrangement" was fully disclosed to HMRC when DOTAS became active, and members of the scheme disclosed income via their SA forms as required - so this, surely, means the IR35 Arrangement does not come under STAR? Also, the scheme (AFAIK) hasn't been defeated as it is still being defended through various legal avenues.

HMRC's definition of "Defeated" is that the tax advantage claimed by the scheme user is counteracted. "Counteracted" means the scheme user, or HMRC, makes adjustments to the person's tax position (e.g. takes Corrective Action).

This link may help, or confuse, more : Penalties: Serial Tax Avoidance

What a fking mess.

[2BA]

Rumours are that they have issued these by mistake... to several thousand people. (Oops!)

That would make sense with the dates

[2BA]

Thanks but even less helpful than their letter!
What's happened to the NTRT site? Nothing's been updated since 2015.

I've got an APN which needs to be sorted by 11th April, although it doesn't tell me how much they want & I'm going to be added to the STAR if I haven't dealt with their APN by 6th April...

I was working through De Graaf from August 06 to September 07 so it all applies to that.
I'm afraid I never really understood any of it back then either -I got my first ever contract job & got told by the agency (Reed) that I had to go through them to be paid. I'd only been permy prior to that so just followed instructions.

[Loan Ranger]

Rumours are that they have issued these by mistake... to several thousand people. (Oops!)

[eek]

Has anyone else had a Serial Tax Avoider Register letter?
I've just had one & it's confusing me

https://www.gov.uk/government/public...special-regime