Page 1 of 1

Ltd Company corporation tax, income tax and VAT

PostPosted: Sun Jul 10, 2011 11:22 am
by imanc
Hi,

I've been reading a lot about the FMOTL movement and learning about a4v, commercial redemption and so on.

I'm a registered director of a limited company, self employed, and I no longer want to be. But I want to continue on with my chosen career, without the hassles of accountants, tax bills and so on.

The company that I set up whilst tacitly and unknowingly acting as my fictional straw man owes about £5000 tax due in September, (£2000 of that is due for VAT) and a similar liability for next year.

I have asked this question on another forum and the general consensus was "do not mess with the HMRC, particularly the VAT devision, or else you will go down."

If this is the case, then the best course of action would be to work hard, pay off all debts and legally wind up the company. But I'm wondering if I can take a more direct route, and a4v an bills whilst not resuming straw man identity.

Has anyone done similar? Does anyone have any advice? Can it be done? Is it feasible? Or should I tow the line like a good 'person' and follow their administrative company wind up procedure and honour all liable taxes on that company?

Any information is greatly appreciated.

imanc

Re: Ltd Company corporation tax, income tax and VAT

PostPosted: Sun Jul 10, 2011 4:46 pm
by wanabfree
Hi imanc,

A good place to learn something about dealing with tax issues is on http://marcstevens.net/

Here are some more links: part 1 http://www.youtube.com/watch?v=YUbeDvee7T8

Part 2 http://www.youtube.com/watch?v=Pdo06Wq4444&feature=related

Part 3 http://www.youtube.com/watch?v=JtWfBNJMYjY&feature=related


The best advice I could offer, is not to take the position of fighting the Inland Revenue, instead offer to pay and accept anything they claim, providing they can furnish you with the relevant proof.


The main question to ask is “is there a factual difference between income and taxable income “if they claim there is, then all you want to know are what those facts are.

If you listen to mark’s talk with the iris agent/lawyer, you will notice he never at any point gives any personal opinions, he just asks questions nothing more.

I know this is dealing the US tax office, but the same principles apply here or anywhere else for that matter.

you can choose to go the freeman route on this, but be prepared to be run over by these people, they will not accept AV4, they will not accept your opinions or interpretations of the law, so don't take any position at all against them and just ask for the facts, you still have to be prepared to confront them in court, if it goes that far.


Educate yourself on Mark’s methods first and have a listen to the archive shows of recent, no state project

Hope I have helped

Good luck.

Re: Ltd Company corporation tax, income tax and VAT

PostPosted: Sun Jul 10, 2011 5:38 pm
by imanc
Wow, superb. Thanks for that information!

And I could see how Marc's approach of not making a particular stance, but asking for clarification, would give them nothing to hold onto.

I can imagine things get murky and more complicated than "do you know the difference between income and taxable income" when there's a ltd company involved, vat, and then possibly some personal income tax. Hmm will keep on with this material though.

Thanks,
imanc

Re: Ltd Company corporation tax, income tax and VAT

PostPosted: Sun Jul 10, 2011 6:16 pm
by wanabfree
imanc wrote:Wow, superb. Thanks for that information!

And I could see how Marc's approach of not making a particular stance, but asking for clarification, would give them nothing to hold onto.

I can imagine things get murky and more complicated than "do you know the difference between income and taxable income" when there's a ltd company involved, vat, and then possibly some personal income tax. Hmm will keep on with this material though.

Thanks,
imanc



i'm glad this is of interest for you, as for things getting murky and complicated, remember your just asking for facts, not legal opinions, it's realy very simple.

you can accept anything they say even if it is opinon as long as those opinons to be valid can be backed up by evidence and facts not more opinions.

they are claiming you have an obligation to pay tax, that's fine, just ask why, how,were,when this alleged obligation was created,ask for a factual timeline.

if your running a registered ltd company the usual way to pay yourself is though dividents, and you pay 20% tax on those. at least that's how i remember it being a few years ago.


what you need to establish is what is the nature of the claim against you is under a contract or tort, if you have an contractual obligation to pay tax,you want to see it,and proof it was lawful ie a voluntary agreement, if it's under a tort who is claiming to be the injured party.

to better understand this i would recomend getting the book Adventures in Legal Land, available on Marc's site.

Re: Ltd Company corporation tax, income tax and VAT

PostPosted: Sun Jul 10, 2011 7:12 pm
by imanc
Hi,

I got Marc Steven's 3 dvd (viewable online) plus ebook and it's great material. Seems more advanced in ways than the a4v stuff/commercial redemption stuff.

So HMRC would likely claim that I owe them income tax, but I suspect their first priority would be retrieving the corporation tax, and the VAT.

I can see how I can use these approaches to question their understanding of taxable income and income with regards to my personal tax return. I imagine with regards to the corporation tax, once they confirm that I am the person who is registered as company director, they'd probably say "well your company has been registered for the past 3 years and you've filed accounts and paid tax each year, but this year you haven't. So you must understand your responsibilities as a company director... "

Would you approach it the same way? "I am looking to understand the nature of the claim for payment of tax... and I woudl like to see evidence of the contract."

Thanks for your help!

imanc