• 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!

Remuneration Trust and Limited Company / Umbrella

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

    #11
    Fair enough I didnt realise he had paid up.

    What about others? Do you really believe those mentioned in that article are the only ones and all the other celebrities are paying 40% tax on their millions?

    Comment


      #12
      Originally posted by LisaContractorUmbrella View Post
      The celebrities have the means to fight HMRC; the average contractor doesn't. You have to bear in mind that HMRC are like terriers - once they grab hold they don't let go! You can't argue the minutiae of any scheme that you use, the provider won't do it for you, so you'll need a tax barrister (upwards of around £500 per hour) to present your case and a lawyer to do the spade work. If you win, you get to keep any money that you saved by using the scheme but you won't, in all probability, get back your costs - this is why only the very rich seem able to get away with avoiding tax on a grand scale and the man in the street doesn't. It doesn't even matter if you win your case in the first instance as HMRC can always go back for a second, third or even fourth bite of the cherry e.g. the Rangers case - you could end up needing that lawyer and tax barrister for years
      You state that the scheme provider won't argue the minutiae of the scheme. From looking at the forums Montpelier have helped the BN66 guys, AML seem to be supporting their EBT users. Obviously there are others that haven't but you shouldn't tar all with the same brush.

      The provider I used have shown me copies of letters they have sent to HMRC on behalf of clients - they did this when I approached them about leaving in an attempt to keep my business. I was very tempted but Webbergs words were enough to make me think I should get out now just in case.

      Anyway, to say that nobody will be supported is not entirely true.

      Comment


        #13
        Originally posted by WalterWhite View Post

        celebrities
        Some celebs also use the bankruptcy financial model (spend-receive demand-declare bankruptcy-repeat), resulting in the payment of zero income tax.
        Dr John Tribe .. "an individual's bankruptcy record is effectively wiped clean after just a year .. some celebrities are being advised that bankruptcy is the best way to avoid their tax bills."

        e.g. Kerry Katona (twice.. 2008, 2013), Calum Best, Duncan James and Anthony Costa of boyband Blue, Joe Swash and Martine McCutcheon from Eastenders, Chris Eubank, Christopher Biggins, Peter Stringfellow
        23 February 2014 .. Kerry Katona 'moves into £3,000 a month mansion'

        This financial model works best if you can generate an immediate high cash flow soon after bankruptcy .. family photo shoots in Now/Hello magazine serve this purpose well. Katona is a master exponent of the model.

        Comment


          #14
          Originally posted by SunnyInHades View Post
          Some celebs also use the bankruptcy financial model (spend-receive demand-declare bankruptcy-repeat), resulting in the payment of zero income tax.
          Dr John Tribe .. "an individual's bankruptcy record is effectively wiped clean after just a year .. some celebrities are being advised that bankruptcy is the best way to avoid their tax bills."

          e.g. Kerry Katona (twice.. 2008, 2013), Calum Best, Duncan James and Anthony Costa of boyband Blue, Joe Swash and Martine McCutcheon from Eastenders, Chris Eubank, Christopher Biggins, Peter Stringfellow
          23 February 2014 .. Kerry Katona 'moves into £3,000 a month mansion'

          This financial model works best if you can generate an immediate high cash flow soon after bankruptcy .. family photo shoots in Now/Hello magazine serve this purpose well. Katona is a master exponent of the model.
          Interesting, I wasn't aware of such a model

          Comment


            #15
            Going back to this, I can find nothing else to back this up. Certainly no figure as to what the "outstanding tax" was.

            Accountancy Age for example ran an article saying he now pays Corp Tax but make no mention of him ever paying additional tax for his time with K2

            I would have thought that if he had paid a substantial amount having tried to avoid lots then there would be more mention of it than just that one liner in an article about Chris Moyles wouldnt there?
            Last edited by WalterWhite; 8 January 2016, 15:37.

            Comment

            Working...
            X