The HMRC update confirms that anybody with expected current year earnings or self-employed profit of less than £50,000 will be able to 
agree an instalment period of up to five years.
This can be done without the taxpayer having to provide any further detailed supporting information. To take advantage of this, the person must no longer be part of any tax avoidance scheme.
Forward interest will be payable on any instalment plan, so it is always in a taxpayer’s best interests to agree to a shorter manageable instalment plan, so they pay less interest overall.
Taxpayers who have a higher income, or may need a longer payment plan, will be considered on a case by case basis by HMRC but, more information will be needed from the client to do this.
Based on our conversations with our contact at HMRC, we understand that for our clients, depending on their circumstances, it may be possible to negotiate terms of up to ten years.
Due to the volume of cases we are dealing with, the Bedrock team have a specific point of contact at HMRC to help keep the process efficient and streamlined.
In all cases it’s important that taxpayers provide information as soon as possible so HMRC can calculate their settlement of the disguised remuneration avoidance schemes by 30 September 2018. This will ensure HMRC has time to process the settlement before the loan charge begins on 5 April 2019.
Bedrock is proactively managing the collection relevant information for our clients that we have registered with an intention to settle so that they meet all the relevant deadlines to ensure they are not affected by the loan charge.
If you or your clients have previously used disguised remuneration schemes and want to discuss how Bedrock can help you give us a call today or read our FAQ on the subject here.
