DOTAS and Umbrella companies stating schemes not DOTAS

[slatt]

FOR THE ATTENTION OF THE DIM : THESE POSTS ARE JOKING!

We've had at least one dimwit who accused us of encouraging the use of these rubbish schemes because he thought irony was something to get the creases out of shirties...

Sorry Cojak

Yes, I'm ashamed to say its true, I don't really have magic beans

[TykeMerc]

Sorry Cojak

Yes, I'm ashamed to say its true, I don't really have magic beans

They're actually magic peas?

[cojak]

Sorry Cojak

Yes, I'm ashamed to say its true, I don't really have magic beans

[LisaContractorUmbrella]

i am not on one of these schemes, niether am i trolling.
i simply am very tempted by the scheme as i said it i know a couple of people who have been on the schemes for a number of years with no issues.

all i want to get some clarification on is how are such schemes non-DOTAS. to the layman like myself i do not know if EBT/CBT schemes should be DOTAS or not. I am trying to get a balanced/factual view from people who know about these things

yes i understand that there is a risk but surely it cant be all doom and gloom as there are som many of these umbrellas about, they all cant be wrong

There are lots of people who post on here who used tax avoidance schemes for years with no issues - they now have big issues - the sort of issues which result in them losing their homes and breaking up their marriages. HMRC do not play nicely and, now they've introduced APN's, they only have to think that you've underpaid tax and you will be in for a whole world of pain.

A CBT is a Contractor Benefit Trust which is an EBT under another name. An EBT is a legitimate process, as has been held up by the Courts in the Rangers case, however, where contractors are concerned, an EBT is used for no purpose other than to avoid tax and will therefore be viewed as a scam arrangement by HMRC. The fact that they have not applied for a DOTAS number doesn't mean that they are not operating a tax avoidance scheme and provides you with no level of protection at all