I paid my last payment in March of this year, after 60 on time payments, expecting to be completed by now. It was only when I chased today that I find out my case is not closed and will not be until this VAT issue is sorted. I think it is terrible that Payplan had not even advised and it has taken me to chase, not impressed! Lets see how long it takes to get my case officially completed and closed!
Hi Franky, the Paymex case put nominees and supervisors fees outside of the VAT system. As a result, claims have been submitted to HMRC to recover the VAT on IVA cases. This takes time as each claim needs to be agreed with HMRC and a refund made.
This process should not impact on your case apart from it being kept open while the claim is agreed and refund received. Once refunds have been received from HMRC and the money has been distributed to creditors, cases will be moved to completion as quickly as possible.
Please speak to your case officer if you have any concerns about your case being kept open.
Many Thanks
Gemma
Payplan Representative
Payplan offer a range of solutions including IVAs and free DMPs. To find out more and to contact us please visit www.payplan.com
Thanks Gemma. Just to clarify, do you have to submit a VAT refund claim for each of your clients individually? If so, have you been doing this pro-actively during the term of an arrangement or rather waiting until the final payment has been made?
To give you some idea of timescale, I submitted by own claim to HMRC in September last year, it was only paid over last month and it has taken us nearly a month to work out the distribution between my cases. I have around 1,200 IVAs under management, and imagine that Payplan have 20 times that amount at least, so it will take some time for them to work through the exercise I am sure.
I think all of us in the profession will be glad when we can put the Paymex debarcle behind us!
Once the Paymex decision was made by the courts, claims were made for all the IVA cases we administer.
Shortly afterwards discussions with HMRC and the insolvency profession in generla over what claims could be made.
This formulated our claim which was submitted. It wasn’t an easy process as we had to look at each case individually and included both open and closed cases. A decision was made that cases nearing completion would be kept open to enable claims to be made and keep the mechanism for distributing the refund.
Once our claims was reviewed by HMRC they visited our office to review our claim which, as you can probably appreciate, was fairly substantial.
Our claim has recently been agreed and we have received some of the refund from HMRC but not it all.
Once all the refund has been received it will be allocated to all the cases administered by Payplan and if appropriate, cases will be closed.
Many Thanks
Gemma
Payplan Representative
Payplan offer a range of solutions including IVAs and free DMPs. To find out more and to contact us please visit www.payplan.com
Sorry, not been on for a while. I'm with McKintyre now, but was with BJ Norton at first. and i've have been in touch with them now. Forgot to ask why they didn't tell me about being able to make a reduced offer though.
So, sent them the money in december and apparently BJ Norton still haven't completed their bit so they can't complete. I dont totally understand whats going on, but its very annoying. I've asked for a conta8ct at Norton, but IP says i can't contact them myself
My IP is McCambridge Duffy. I just wondered if anyone else was using them and if anyone knew if they were closing cases yet?
I made a settlement payment back in June 12 only to then find out this problem with the VAT. I have called them on several occasions to be told next few weeks my IVA would be closed. I have also been told they have had the VAT refund and it just needed allocating to my case.
In my last phone call to them, I was told that it now could not be closed due to the PPI thing. I said I had received forms from them but I didn't want to claim fir mis-sold PPI. I was then told that RBS had refunded PPI. But how can they if I didn't make a claim? I can't quite believe the banks are just handing out PPI off their own back.
I just want my IVA closed and my name taken off the Insolvency Register so I have half a chance of being able to get another bank account if I wish or get a better rate on my mortgage (no more debt though! learnt my lesson well!) but they just won't close my IVA or give me a date of closure.
Can anyone advise on how I can push it along a little? It still feels such a stone around my neck and I want to be able to move on.
I feel sure that they received their VAI refund a while ago, but from my own experience it is a painstaking exercise to repatriate the money across the volume of cases under our supervision.
It is unlikely that your case can be closed if there is outstanding VAT money and PPI claims still to repatriate - although Michael often says on the forum that a full and final settlement should be just that - so possibly once the VAT issue is resolved your case can then be closed straight away.
Michael logs onto the forum most days, and may be able to get someone to look into this for you.
I am only seeing this now and apologise for the delay in replying. We have been testing software in relation to the VAT issue and we hope to have our cases closed in time for the New Year and preferably by Christmas. The PPI issues are mostly resolved and we are continuing to close full and final settlements where VAT was never charged in the first place.
I can only apologise for any inconvenience this is causing to our clients who have maintained their arrangements and complied with their IVA terms. I can assure you that we want to close these cases as quickly as possible and if any of our clients have any queries please do not hesitate to contact myself or Roisin who is the manager of the supervision team or their IP themself.
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