Advice for HMRC

[DealorNoDeal]

If it is a DOTAS registered scheme then HMRC would know who the users are. They should write to these scheme users and make them aware of the risk they are taking if it is found later on that the arrangement does not work. Even if it means, at the very least, just sending the scheme user a paper copy of the spotlight Comparison and broker websites marketing umbrella companies are not always what they seem (Spotlight 55) - GOV.UK.

No-one registers under DOTAS anymore because it means an automatic APN.

DOTAS died the moment they brought APNs in.

[Superfly]

If it is a DOTAS registered scheme then HMRC would know who the users are. They should write to these scheme users and make them aware of the risk they are taking if it is found later on that the arrangement does not work. Even if it means, at the very least, just sending the scheme user a paper copy of the spotlight Comparison and broker websites marketing umbrella companies are not always what they seem (Spotlight 55) - GOV.UK.

[DealorNoDeal]

Rather than trying to extract contact details and contact users, they should be asking for the full details of the scheme, examining them and then shut-in them down once they establish they do not work. Go for the providers not the end users.,

The "shutting them down" is the problem. HMRC may have wide ranging powers but stopping schemes operating is a legal process which takes time. Also, most of the operators are offshore which makes it even more difficult to stop them.

The reason I'd like to see HMRC contact the end users PDQ is to warn people of the risks they are taking. The longer people stay in a scheme the more trouble they're getting themselves into.

[DaveB]

(Just in case they are reading this forum)

Especially in light of this BBC R4 programme.
BBC Radio 4 - Money Box, NHS re-joiners targeted by promoters of tax avoidance schemes

HMRC should be constantly on the lookout out for new schemes, and taking action immediately. Even if they can't legally shut the schemes down, they should request lists of users from the promoters (which I'm sure they have the power to do), and then write to each user warning them, in no uncertain terms, that they are risking their future.

If HMRC don't get more proactive, they'll need another retro charge in a few years time to clean up the latest mess.

Rather than trying to extract contact details and contact users, they should be asking for the full details of the scheme, examining them and then shut-in them down once they establish they do not work. Go for the providers not the end users.,

[ladymuck]

I agree. A more proactive approach would enforce compliance and encourage cooperation rather than ignoring problems for decades and then slapping in place retrospective legislation because they were caught sleeping on the job.

[DealorNoDeal]

(Just in case they are reading this forum)

Especially in light of this BBC R4 programme.
BBC Radio 4 - Money Box, NHS re-joiners targeted by promoters of tax avoidance schemes

HMRC should be constantly on the lookout out for new schemes, and taking action immediately. Even if they can't legally shut the schemes down, they should request lists of users from the promoters (which I'm sure they have the power to do), and then write to each user warning them, in no uncertain terms, that they are risking their future.

If HMRC don't get more proactive, they'll need another retro charge in a few years time to clean up the latest mess.