Help with income tax

[silly moo]

I realise that this is not the usual place for discussions about income tax but as I consider fellow forum members my friends maybe someone can help.

I have just returned to the UK after 50 years in Africa. My daughter who is a graphic designer has been living and working in London for the last ten years.

She is affected by a new law called Contractor Loan Legislation (she only used this scheme for 26 months and earns a low salary)

When she realised that she might be affected by the change in legislation she contacted HMRC who have sent her and incomprehensible spreadsheet to fill in by the end of this month. We don't know where to start.

One thing I have noticed since returning to the UK is that a lot of transacting with government departments is done over the phone involving hours of waiting and listening to classical music.

Is it still possible to go into a tax office and get advice from a real person?

[NeMo]

Is it still possible to go into a tax office and get advice from a real person?

My wife is an accountant, and I showed her your message. Her reply was basically this:

(1) No, unless you happen to live near a tax office, rolling up to such an office for help isn't practical. All of her HMRC contact is done by phone or letter.

(2) The phone call length varies. She says that yes, you sometimes have to wait, but usually by the time you get through to the right person, she's found HMRC very quick.

(3) When on the phone, ask if there is a "specialist team" dealing with the Contractor Loan Legislation scheme. If there is, ask for them AND their number, so you can get through directly next time!

(4) Realistically, for more specific help, you will probably have to pay for an accountant or financial advisor.

Cheers, NeMo

[Bealman]

Silly moo:



That is so true!! Everytime I have had to deal with stuff like that in UK, same problem.

All the best at TINGS this weekend....

Lots of pictures, please! 

[port perran]

Having been self employed until I retired a year ago, I can only reiterate NeMo's advice.
When you first get through to HMRC by telephone you get one of the front line advisors who have little specialist knowledge.
You need to get past that "layer" and get to speak to a specialist but you might need to be insistent so don't let them fob you off.
I agree, 20 years ago you could walk into your local tax office and speak to someone. That's all gone now but I guess that's progress.

[Fardap]

One thing I have found works pretty well is their online chat, have used a few times rather than wait on the phone, both times solved the issues concerning tax, codes and incorrect information. Just have everything to hand to give them as much info as possible... obviously the topic may be too complex for that system though but might work...

[zopadooper]

I realise that this is not the usual place for discussions about income tax but as I consider fellow forum members my friends maybe someone can help.

I have just returned to the UK after 50 years in Africa. My daughter who is a graphic designer has been living and working in London for the last ten years.

She is affected by a new law called Contractor Loan Legislation (she only used this scheme for 26 months and earns a low salary)

When she realised that she might be affected by the change in legislation she contacted HMRC who have sent her and incomprehensible spreadsheet to fill in by the end of this month. We don't know where to start.

One thing I have noticed since returning to the UK is that a lot of transacting with government departments is done over the phone involving hours of waiting and listening to classical music.

Is it still possible to go into a tax office and get advice from a real person?

I am a qualified accountant working in practice and I have to admit I had never heard of the Contractor Loan legislation.  Having now done some quick research it appears to be a tax avoidance scheme for sub-contractors which HMRC have outlawed, resulting in the untaxed income received becoming taxable. If the earnings levels are high I would recommend a trip to an accountant but make sure they are familiar with the legislation.

[njee20]

To Echo Zopadooper I would recommend seeking advice of an accountant regardless - the implications of this change in legislation are significant, although hopefully two years of exposure on low earnings will mean she's not too heavily implicated.

[silly moo]

Thank you very much for all the helpful replies, I have no financial knowledge at all and am hopeless at maths and am still trying to grasp how the scheme actually works.

She as an designer is also out of her depth too, quite a few of her designer  friends were involved as well and also got out of it a few years ago. I suppose the only fortunate thing is that they are all low earners.