Reply to post: Re: Loan Charge?

Contractors slam UK taxman's 'aggressive' IR35 tax reforms

Anonymous Coward
Anonymous Coward

Re: Loan Charge?

Can I just point out that anyone who has accepted cash in hand is guilty of tax evasion, a crime. Anyone has who has paid cash-in-hand in order to get some money off bears some moral responsibility for that. Those same people are happy to watch people being bankrupted for tax avoidance, a morally dubious action, but certainly not a crime.

Since this saga started the government has passed laws allowing HMRC to demand sums under dispute up front, regardless of whether they are legitimate claims or not. Surprisingly, HMRC then seem to drag their heels for a few years, preventing the cases going to tribunal. When the supreme court determined that the employers were liable for the tax, the government simply changed the law to say employees were liable.

The Government knew this was happening for many years and could have shut it down. Other countries have simple, general anti-avoidance laws where their revenue dept. can basically say “don’t be stupid that’s taxable”. This whole situation is unfair from everyone’s perspective, and you should spare some small measure of sympathy for those facing bankruptcy, because you could be next.

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