Hi,
I have read few posts mentioning 10% reduction of settlement figure based on expenses.
Is the 10% based on loan amount each year you were in the scheme or is it 10% reduction in the settlement tax figure?
Say.. disguised renumeration scheme was used for 3 years totalling to gross amounts A , B and C. The settlement figure is amount X.
Is the reduction calculated after reducing amount A , B and C by 10% and calculating the tax due on revised amounts ?
Or
Is the 10% reduction of X?
I understand HMRC may not be applying this to everyone but just want to understand the calculation done.
Thanks,
Akira.
I have read few posts mentioning 10% reduction of settlement figure based on expenses.
Is the 10% based on loan amount each year you were in the scheme or is it 10% reduction in the settlement tax figure?
Say.. disguised renumeration scheme was used for 3 years totalling to gross amounts A , B and C. The settlement figure is amount X.
Is the reduction calculated after reducing amount A , B and C by 10% and calculating the tax due on revised amounts ?
Or
Is the 10% reduction of X?
I understand HMRC may not be applying this to everyone but just want to understand the calculation done.
Thanks,
Akira.
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