Hello again I`m back lol
For anyone who needs a heads up we entered our IVA in March 2012 and on 12 April 2013 we got our F&F accepted.
To cut a long story short
a) we are still awaiting the CC
b) HMRC were on our list of creditors but someone there made an almighty cock up - never questioned the figures - not our fault
c) we are now in the official complaints procedure with PayPlan
Otherwise we are buying a second shop and move in end of August.
Last edited by Hyperdrive on Wed Jul 24, 2013 10:07 pm, edited 1 time in total.
Your IVA would have included the liability for 2011/12 and any arrears. Your return for that year would have been submitted in advance of the variation and HMRC's final claim agreed. I do not see how there could be a problem. Can you explain a bit more?
What has led to the issue you are reporting Hyperdrive? HMRC are taking quite a long time to agree creditor claims at the moment, and it may be optimistic to believe that a completion certificate can be issued at this time if they have not submitted their final claim - especially if you did not submit your tax return for 2011/2012 until January 2013.
Basically guys there was an investigation into our tax returns relating to two years prior to the IVA date. HMRC bully and intimidate small people because they know they are easy prey and can`t afford expensive accountants. No arguments please.
So we get our self assessments reassessed upwards for undeclared income. You might recall earlier posts. Untrue but this government has its own agenda about letting their big donor companies get away with paying no tax so they have to be seen to make some money elsewhere.
As long as the retrospective payments are under 15% of the total unsecured debt of the IVA there is no need for a variation meeting and the £10k added to the pot was under the threshold. I posted about this - and emailed/scanned all the HMRC documents to PayPlan, who btw still to this day couldn`t work out how much I owed. Turns out I was right about the figures.
Mel and Michael agreed last year it was a moot point in that the money due, applying to fiscal years before the IVA commencement date, was in effect written off. Even though innocent of the charges there was no point arguing and racking up accountants fees to defend ourselves.
The cicular to creditors issued in March before the F&F meeting included HMRC but listed no income tax liabilities. My HMRC account numbers pre and post IVA confirm this.
I think what has happened is the £10k HMRC dreamt up is still floating around in their bureacratic parallel universe and someone there has finally twigged it should have been lumped in the pot. PayPlan have said the delay relates to HMRC. I`ve since taken advice off my new accountant (and his IP friend) who has confirmed that as we have paid the F&F money, and HMRC were on the circular to creditors, there can be no comeback.
I can understand all of that, but confirmation should have been gained from HMRC as to whether there were any outstanding tax liabilities at the time your IVA was presented. This may be of no real matter now, as the claim can be rightfully included into the IVA - but only when a final and agreed claim is submitted. I assume that no distributions have been made to your creditors in the meantime?
Mel I don`t know what they have been doing and by now I don`t care. All we know is we scanned and emailed all the HMRC letters to PayPlan as we got them. I`m guessing someone dropped a huge bollock and people at PP and HMRC are trying to argue who between them is to blame. But its not us
Mel the returns in question related to trading accounts to end Oct 07/08 and 08/09. Michael - these would be included in Tax returns submitted January 10 and 11, thats the way it works.
Last edited by Hyperdrive on Thu Jul 25, 2013 1:22 am, edited 1 time in total.
The really frustrating thing is, when PP said it would be 6-8 weeks to receive the CC, and it hadn`t come after 11, I triggered an official complaint which - wait for it - will be resolved within 4 weeks[:(!]
It seems a bit strange to offer a F&F without at least an estimate of the HMRC liabilities. I see no reason why this cannot be closed unless the creditors were lead to believe a higher dividend was on offer than can actually be achieved. If this is the case then another variation will need to be called or your IP can reduce their fees to ensure creditors get what they were offered.
Hi Hyperdrive, I would say it is not the standards that are a farce but obviously they have to be administered correctly to ensure their validity!
Regards, Tina Shortland, Debt Advisory Manager for Melanie Giles at Debt Advice TV.
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Presumably the case cannot be closed because final HMRC liabilities are yet to be agreed? Or have they now submitted a final claim which your IP has agreed?
Thanks for replying Mel Tina and Michael. The bottom line is I know I`m right
Hindsight is a great thing. If anyone is reading this on the verge of their journey go with Mel or Michael .
It doesn`t matter if I`ve contavened forum ethics tbh by sharing my experience and recommending an IP, I just know in my heart of hearts they are good people and would have done better than my choice.
There comes a time when people looking on here know the score[;)]
I don't think that there is anything to stop posters with no connections with IP companies making recommendations on the forum. I am certainly happy to read them, and thank you for your comments, Hyperdrive.
Thanks from me too for the compliment. There are people who have been let down by this industry and no doubt we have let people down, but like Melanie I hope our intentions and ethics are true even if we do make mistakes.
