Whilst everyone has been focused on Homer's Damehood, HMRC has been forced into an embarrassing u-turn and has had to withdraw 2,000 Accelerated Payment Notices (APNs) demanding payment of disputed tax after admitting the demands should never have been issued.
APNs are used by HMRC to demand tax that it believes someone owes before the underlying dispute has been adjudicated on by an independent tribunal or court. Taxpayers then have 90 days to pay HMRC the tax demanded, but are not allowed to appeal the decision.
However, it seems that one of the conditions necessary for issuing an APN wrt those who participated in the the Montpelier IR 35 Manx Partnership arrangement was not satisfied.
AccountancyAge reports that HMRC has now admitted that the APNs should not have been issued because although the arrangements were notified to HMRC, they were not 'notifiable' to HMRC, under the DOTAS regime.
As I noted in September 2015, APNs have been an utter shambles!
Tax does have to be taxing.
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