I've been trying to pin HMRC as to how the above interact.
Accepting that there is a degree of guess work here my view is as follows.
An APN is a payment on account of a final liability. The APN is based on an HMRC calculation of disputed tax. There are mechanisms to challenge that amount but you cannot appeal the notice.
In the case of contracting schemes, APNs on most schemes where the terms and conditions are met, have been issued.
There are some lingering instances where HMRC has not taken enforcement action but these are the exception rather than the rule.
There are a couple of schemes where HMRC has won a Tribunal case saying that the scheme was "disclosable" and therefore the terms and conditions have been met, opening the way for APN to issued. For whatever reason, this has not happened.
An APN, once paid, is repayable if the final liability is less than the value of the APN.
The loan charge will (HMRC claim) bring into charge loans made in years which may have been subject to APN.
You can ELECT to set off the APN paid against the loan charge.
In doing so you give up any right to a refund of the APN in the event that the final liability is lower than the APN paid.
Be careful.
Accepting that there is a degree of guess work here my view is as follows.
An APN is a payment on account of a final liability. The APN is based on an HMRC calculation of disputed tax. There are mechanisms to challenge that amount but you cannot appeal the notice.
In the case of contracting schemes, APNs on most schemes where the terms and conditions are met, have been issued.
There are some lingering instances where HMRC has not taken enforcement action but these are the exception rather than the rule.
There are a couple of schemes where HMRC has won a Tribunal case saying that the scheme was "disclosable" and therefore the terms and conditions have been met, opening the way for APN to issued. For whatever reason, this has not happened.
An APN, once paid, is repayable if the final liability is less than the value of the APN.
The loan charge will (HMRC claim) bring into charge loans made in years which may have been subject to APN.
You can ELECT to set off the APN paid against the loan charge.
In doing so you give up any right to a refund of the APN in the event that the final liability is lower than the APN paid.
Be careful.
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