Tax Recovery under MARD Directive

Tax Recovery under MARD Directive

Didn't find your answer?

Hi

Just a general query regarding MARD recovery.

I conducted an overseas assignment during the period of 2007/2008.... I hired an Accountant who produced the accounts for my freelance business.

During the early part of 2009 when my contract ended the Accountant overseas was awaiting a reply from the local tax inspector as to whether I would be assessed as a non resident or resident. Because of the delay, the monies I had set aside for my tax bill (21000 Euro) dwindled and since then I was unemployed, I had no income or assets.

In 2011 my accountant then allegedly wrote a letter to HMRC explaining that I was not working, no income etc and sent in bank statements and a covering letter asking for a breakdown of the debt.  I was via the account from HMRC advised no further action would be taken,  I never had written confirmation of this from HMRC despite requesting the information from the Accountant.

Now a  week or so ago I have had a letter from HMRC referring to the MARD recovery letter they sent back in 2011 now requesting payment in full under the MARD directive.

My situation has recently changed and I am now working again, is there a time limit on recovery under MARD considering the tax assessments relate to 2007 and 2008 and are overseas related?

Thanks in advance.

Replies (2)

Please login or register to join the discussion.

avatar
By cmiskin
31st Jul 2012 22:46

MARD Recovery

If HMRC are seeking to collect tax on behalf of an overseas jurisdiction under the MARD regulations, they are simply acting as a collection agency. You would need to look at the tax law of the overseas jurisdiction to establish whether the tax is still legally recoverable and take up any dispute over the amount due with the overseas authority. For the MARD regulations see: http://www.hmrc.gov.uk/manuals/dmbmanual/DMBM560000.htm 

Thanks (0)
Replying to shaun king:
avatar
By SteveWeaver1970
31st Jul 2012 23:49

Thankyou so much for the information.

Thanks (0)