• Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
  • Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

Closing an enquiry does NOT mean that no tax is due

Collapse
X
  •  
  • Filter
  • Time
  • Show
Clear All
new posts

    #11
    Originally posted by webberg View Post
    Operating within the law cannot be termed "abuse".

    HMRC do use the enquiry process in a "protective" way and will continue to do so unless the taxpayers realise their power and get on the front foot and take control.

    Sitting back, leaking fees to advisers and stalling whilst interest etc accrues is pointless, as is using advisers to challenge peripheral matters rather than the substantive issues.
    The term "abuse" is often used by HMRC in the context of what are perfectly legal arrangements. Because law these days varies between letter of, spirit of and purposive I would argue that there can be abuse while operating within the law, especially where there is big power imbalance. I would argue many of HMRC's stalling tactics are abusive.

    Comment


      #12
      Originally posted by dammit chloe View Post
      The term "abuse" is often used by HMRC in the context of what are perfectly legal arrangements. Because law these days varies between letter of, spirit of and purposive I would argue that there can be abuse while operating within the law, especially where there is big power imbalance. I would argue many of HMRC's stalling tactics are abusive.
      Agree with you. Stalling has been their best decision. We, the individuals, assume that everything has gone away because we heard nothing for years and years. Assured by promoters etc. In fact, schemes not taken to tribunal. I expected that they would pick a lead case from my scheme and then take that to tribunal. Nothing. No action. Then many years later out pops the loan charge. And "spirit of the law" is not the law.

      Comment


        #13
        Originally posted by webberg View Post
        Operating within the law cannot be termed "abuse".

        HMRC do use the enquiry process in a "protective" way and will continue to do so unless the taxpayers realise their power and get on the front foot and take control.

        Sitting back, leaking fees to advisers and stalling whilst interest etc accrues is pointless, as is using advisers to challenge peripheral matters rather than the substantive issues.
        At best, HMRC make the law that parliament rubber stamps.

        Quote from a former tax inspector turned adviser. "I don't know why I bother learning the law books. HMRC ignore them anyway". Quite.

        I do agree though about taxpayers being far more aggressive with HMRC. On the other hand, I am not so sure about being more aggressive with advisers. I have seen a lot of abuse handed out to advisers that needs to go to HMRC.

        Comment


          #14
          Originally posted by NeedTheSunshine View Post
          It would take a brave person to take a closure notice through tribunal. Plus deep pockets. Yes you can represent yourself, but the reality is that you will probably lose and HMRC have deep pockets so would appeal anyway if you won at the first stage. They have time and money on their side.

          It would take a group of people from a scheme to push this through and as we've seen, getting a group of contractors together and coordinating is no easy task. Perhaps such a case from a group is already going ahead. I hope so, and wish them well if so. I completely agree that taxpayers need to realise their power. Easier said than done.
          In the end, you'd probably lose anyway.

          Schemes may have been within the letter of the law but I doubt any would stand up in a tribunal these days.

          I know some advisors are approaching litigation from different angles* but it's still one heck of a mountain to climb to convince a tribunal that YOU aren't personally liable for tax on money that YOU received and which was earned from services YOU provided.

          * eg. some other entity was responsible for paying the tax
          Scoots still says that Apr 2020 didn't mark the start of a new stock bull market.

          Comment

          Working...
          X