Loan Charge Contractors to Get HMRC Payment Concession
Posted 19th February 2019 in News For Workers
Contractors currently earning less than £30,000 a year have been offered up to seven years to settle their disguised remuneration charges, according to HMRC.
The concession follows existing HMRC repayment arrangements allowing contractors earning less than £50,000 up to five years to settle the bill.
Addressing MPs on the Treasury Select Committee, HMRC’s director counter-avoidance Mary Aiston commented, “…where people’s current income in less than £30,000, they can have seven years to settle their bill, if they need it, without questions asked.”
The concession comes after plans by HMRC to recoup unpaid taxes from workers using disguised remuneration schemes, in a new regulation known as the 2019 Loan Charge.
Seeking to reassure individuals possibly affected by the new scheme, Aiston commented that, “HMRC is not going to make people sell their homes to pay their disguised remuneration tax bill,” adding that insolvency was “very much a last resort”.