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Edge EBT thread

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    Originally posted by Kent1515 View Post
    hi - my first post here, I'll try to be brief.

    I was in the Edge EBT scheme for 18 months during the tax years 2007/08 - 2008/09. In 2015 HMRC contacted me and offered me the Contractor Settlement Opportunity which I took (I realise now I perhaps should have fought/appealed but I was in a very low place at the time and wanted them off my back so I could move on with my life). They said I owed circa 9.5k in tax for tax year 2008/09 and asked me to provide any other information.

    I paid the 9.5k and gave them full details of the two tax years that I was in the scheme. They wrote back thanking me for payment and said the following 'I note that you included details of loans received for the 2007-08 tax year, HMRC did not protect it's position within the required time limits and therefore no further action will be taken with this year'.

    In June 2018 they wrote to me again asking the same question about the EBT in 2007/08. I replied with a copy of their own letter stating the above and drawing their attention to it, hoping that would be the end of the matter. However, just over a year later they have now written to me, not mentioning their previous stance/letter and giving me a month to agree to pay.

    Is their letter of 2015 in which they say the matter is closed not worth anything in my defence?
    If you haven't already could you send redacted copies of these comms explaining the background to LCAG ([email protected] ) and the Loan Charge APPG ( [email protected] ).

    We are always in need of such things that show the contradictory claims HMRC make.

    And yes show this to your MP.

    Comment


      Just be aware that LCAG are not tax advisers. They are an action group against the loan charge.

      They do some excellent work and have a campaign against the loan charge running which has made good progress but it sounds as though your need is for more basic advice.
      Best Forum Adviser & Forum Personality of the Year 2018.

      (No, me neither).

      Comment


        Writing off EBT Debt

        Has anyone had any success in writing off the Edge EBT ?

        Thanks in advance.

        Comment


          Originally posted by Seven777 View Post
          Has anyone had any success in writing off the Edge EBT ?

          Thanks in advance.
          Yes.

          However a write off now without the comfort of a settlement agreement that states unequivocally that no further tax charge can arise, would not be sensible.
          Best Forum Adviser & Forum Personality of the Year 2018.

          (No, me neither).

          Comment


            Originally posted by webberg View Post
            Yes.

            However a write off now without the comfort of a settlement agreement that states unequivocally that no further tax charge can arise, would not be sensible.
            Thanks for your reply, much appreciated.

            May I ask, with respect to "no further tax charge can arise" - are you making reference here to the loan charge?

            I would be interested in learning more about the process of having the loan written off. Would you be able to give me some direction in terms of where I can read up more on this, please? Perhaps you know someone who has done this successfully?

            I need to do further groundwork here as I'm not understanding why it would not be sensible "now", however, if you could share any comments in that respect, that would be very well received.

            Thanks again and regards.

            Comment


              Originally posted by Seven777 View Post
              Has anyone had any success in writing off the Edge EBT ?

              Thanks in advance.
              Have you already settled with HMRC ie. paid tax on your loans?
              Scoots still says that Apr 2020 didn't mark the start of a new stock bull market.

              Comment


                Originally posted by DealorNoDeal View Post
                Have you already settled with HMRC ie. paid tax on your loans?
                Yes - a couple of years or so ago.

                Comment


                  Originally posted by Seven777 View Post
                  Yes - a couple of years or so ago.
                  In that case the loans can be written off now with no further income tax to pay.

                  There might be an IHT charge depending on the type of Trust used in the scheme. The trustees should be able to advise you on this.
                  Scoots still says that Apr 2020 didn't mark the start of a new stock bull market.

                  Comment


                    Originally posted by DealorNoDeal View Post
                    In that case the loans can be written off now with no further income tax to pay.

                    There might be an IHT charge depending on the type of Trust used in the scheme. The trustees should be able to advise you on this.
                    Thanks for that. Would anyone know how to contact the the trustees?

                    Also, is there a danger of NOT writing the loan off even if you have settled and paid tax on them - I thought that if the tax has been paid then it's not a requirement that you do this straight away?

                    Thanks and regards

                    Comment


                      Originally posted by webberg View Post
                      Yes.

                      However a write off now without the comfort of a settlement agreement that states unequivocally that no further tax charge can arise, would not be sensible.
                      May I ask, did you do this yourself or you know of someone else that has.

                      Thanks.

                      Comment

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