www.iva.co.uk

I am self employed but work is drying up and I have been at loggerheads with HMRC for years.
I now have had a statutory demand served under section 268(1)(a) from the commissioners of HMRC issued against me in the amount of £35,000 and there is no way I can afford it. Have no property or assets to speak of - any advice? What can HMRC do to me other than making me Bankrupt?

Your status says that your IVA has been completed - so is this a new debt which have incurred either during the IVA or after it has concluded?

Have you tried to negotiate the debt with HMRC, and do you have other debts now as well? Do you have assets which could be affected under bankruptcy proceedings? Bankruptcy is probably the ultimate route that HMRC will take against you, however do try to work with them to see if there is a mutually viable solution you can work out together.

As long as you have been completely above board and honest with your dealings, BR is, really, their ultimate sanction for dealing with the debt.

It is a shame this could not have been dealt with during your IVA if the debt is disputed and been going on for some time.

Whoa there!!

I posted this on behalf of a friend (Jim) who doesn't have an email address!

I'm glad to say 1. Yes - my IVA is nearly done and 2. The HMRC are not after me.

I did start the message as 'Jim - C/O this email address but it didn't show on the 'ask the experts a Q' entry.

So its bankruptcy then - will they make him bankrupt and does he have to do anything?

He can sit back and wait for HMRC to make him bankrupt or he can propose an IVA. Even if there is only one creditor HMRC have been known to support IVAs so he could get some advice from and IP firm and see what he would feel is best.

Sorry about the misunderstanding!

Has he tried to make an offer of settlement directly with HMRC? I've certainly ha IVAs accepted before where HMRC are the only creditor, however success does depend upon the individual circumstances of the case concerned, and the reasons which have led to his failure to pay his taxes on time.