Member Since: 15th Mar 2000
16th Jan 2020
The price of progress? The price of HMRC poking their noses into small businesses and telling them what kind of book-keeping system they need, more like, without having any idea how small businesses function. A case of the blind leading the blind.
10th Jan 2020
I'm pretty sure we wouldn't know the difference. However having a requirement to provide ID must act as a first line of defence against small-time criminals or would-be criminals who would otherwise be free to take on any identity they chose.
We should remember that the purpose of AML is to at least try to cut down the amount of financial crime and criminal activity generally, as that can only lead to a fairer society and a move away from a situation where organised crime gets out of control.
I'm no longer in practice on my own account and have little involvement with AML now, but it's always been clear to me that we should applaud all efforts to reduce crime.
11th Nov 2019
Let me congratulate Herr/Frau Scheithauer (senior) on their excellent taste in music! (According to Companies House, Ringo was born in 1966 which was of course in the midst of Beatlemania.)
11th Nov 2019
According to Companies House Ringo ceased to be a director of the company on 13th April 2017. He has no other appointments listed at CH and therefore could be working anywhere in the world now, so it might have cost him a lot to get to the hearing, particularly if lost earnings are taken into account. I think he should have pointed this out in his letter to HMRC or preferably sent a letter to the tribunal about it, if in fact he didn't do so.
Also, responding to an earlier point in this thread regarding the benefits, the BIK of £6,669 multiplied by 45% is £3,001 which is less than the reported underpayment. Presumably the omission of benefits on the return must be part of the cause of the underpayment, with a small PAYE underpayment also.
He should clearly have included the BIK figure in his return, but as someone else has mentioned, the details are often provided fairly late or not at all, and in this case may not have reached him at all given that it relates to 2016/17 and he apparently left the company in April 2017 as mentioned above. Do all companies send P11Ds to people who have already left? They clearly should but I doubt if they do in many cases.
Coming from abroad, he wouldn't necessarily have been aware of the ins and outs of these things.
All in all, his return was incomplete and he was aware that the earnings figure was wrong so he should have obtained further advice before submitting it. Surely he could have expected to get suitable advice free by phoning HMRC on their SA helpline, although I must admit I wouldn't want to rely on them in a case like this without getting their advice in writing!
Really he would have been sensible to pay an accountant to do the return in order to satisfy himself that he was submitting a correct return and paying the correct amount of tax, but obviously he would have needed to point out to the accountant that the P60 was wrong - how many of us check the figures on a P60 before entering it on a client's return? Not me, unless I have some reason to think that it may be wrong.
30th Oct 2019
It's ridiculous to argue that anyone in her position isn't in reality an employee. Why should contractors and their employers be treated more favourably than ordinary employees and their employers? Contractors receive high salaries which more than compensate for their having to pay secondary (employer's) NIC and giving up various employment rights. They need to either deal with matters properly from the start or put money aside in case the **** hits the fan, as in this case. And obviously they need to get expert advice on the tax position - perhaps she should explore the possibility of a claim against her accountant?
3rd Jul 2019
If people go to live abroad they (may) pay income tax, and get a personal allowance to reduce that tax, in the new country of residence. Can someone explain why they should get an extra allowance in the UK?
19th Jun 2019
21st Sep 2018
It's shocking that someone with the views of Rees-Mogg is given credibility in 2018 Britain. I thought when Tony Blair and latterly David Cameron got in we'd put all that nonsense behind us. But with hatred and vile spurted by the Sun and The Mail obviously not.
As for what we can and can't do in the EU. People are so so wrong.
Democracy is such a bore isn't it? Ditto freedom of speech.
21st Sep 2018
Lets get down to practical examples. In May and June this year I bought Asparagus in Tesco's, sourced from a farm two miles down the road; two weeks later from a farm in Poland; three weeks after that from a farm in Peru.
In each case I paid £2 for the asparagus.
Its seems the disparity in transport logistics, customs procedures, packaging and pricing are well understood by the whole supply chain to the point where the mug consumer just pays up and accepts it all.
Why should we worry about Brexit? The retailers have got every scenario templated and are rubbing their hands in glee at the "Cost of Brexit, guv" excuses to make more profit.
Surely it could be simple competition that keeps the cost of asparagus stable? My recollection of studying economics a lifetime ago tells me that in conditions of perfect competition prices of identical goods from different suppliers will be the same. If you can't supply it at (or below) the prevailing price you shouldn't be in the market. Someone else will undercut you.
26th Feb 2018
There is no ethical dilemma here. If HMRC have issued a notice to complete a tax return then a return is required by law. It's difficult to see that the cost of complying with the law in a simple case will be any more than the cost of a futile argument with HMRC about whether they were right to issue the notice, to my mind.
Many tax returns have to be completed and submitted but don't raise any tax for the government if the person concerned has no liability under SA for a particular year, but that doesn't mean that the taxpayer can choose not to submit.
HMRC need to ask people to submit returns who are likely to have a liability and company directors will generally be in that category, just as self-employed people are.
Surely it must be up to HMRC to decide who should submit a return, as long as their decisions have some logic?