It seems that "time to pay" agreements made by taxpayers with HMRC regarding tax debts are not always honoured by HMRC.
The FT reports that business owners who have thought that they have made a "time to pay" agreement with HMRC, have been less than pleased to receive letters from third party debt collection agencies threatening them with confiscation of their assets.
These letters are being sent to businesses who have not breached the repayment terms agreed with HMRC.
The letters often include phrases such as "our records suggest that you have ignored our previous requests" and "if you do not comply with our request we have to assume you are unwilling to pay and will take distraint action which may involve taking your assets".
However, HMRC are of the view that there is no problem. They are quoted by the FT:
"Each time-to-pay arrangement exists for a specific debt or debts, so debts not covered by the arrangement may be sent to a debt collection agency (DCA).
If, exceptionally, a customer believes that a debt included in an arrangement has been referred to a DCA, it should contact us immediately."
So that's alright then, simply contact HMRC immediately and the problem will be resolved!
Tax does have to be taxing.
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