Loan Charge and Taxpayer Fairness APPG launches call for evidence to establish the position faced by people impacted by the Loan Charge
The Loan Charge and Taxpayer Fairness APPG has launched a call for evidence, to establish the reality of the situation for all those impacted by the Loan Charge, whether they face the Loan Charge now or have settled with HMRC to avoid it.
The call for evidence is being done because it remains unclear what the reality is for people or what the real impact of the Loan Charge is likely to be and because HMRC and the Treasury have sought to gloss over the reality of the impact of the Loan Charge, despite privately admitting that there will be bankruptcies. No proper impact assessment was done for the Loan Charge. The Government only assessed the impact on the UK population as a whole instead of the impact on the people who would actually be hit by the draconian retrospective charge.
The call for evidence is also important, because there are a number of key facts that haven’t yet been established, as HMRC and the Treasury have failed to provide them when asked. The APPG recently wrote to First Permanent Secretary and Chief Executive of HMRC, Jim Harra, asking 12 key questions relating to key information that thus far the HMRC and Treasury have not provided.
Submissions can be completed by anyone who is either facing the Loan Charge or has settled to avoid it and the deadline is Friday 8th April 2022. The instructions for submitting evidence are available here. Submissions are welcome from all people who are personally impacted by the Loan Charge whether as contractors or company directors. Submissions, once completed, are to be emailed, using the supplied PDF forms to email@example.com with the subject Header: APPG Call for Evidence Spring 2022.
The APPG will use the submissions to understand the current reality of the Loan Charge and will share the findings.
The APPG’s call for evidence follows the proposal made by tax sector professionals for a fair resolution to draw a line under the whole issue, without the devastating consequences that will happen if HMRC enforce the Loan Charge as is currently the intention.
Commenting, Loan Charge APPG Co-Chairs said:
Sammy Wilson MP, Co-Chair of the Loan Charge and Taxpayer Fairness APPG (DUP):
“It is clear from evidence sent to the APPG and also to individual MPs that the personal impact on those affected by the Loan Charge is serious, yet so far HMRC and the Treasury have not properly acknowledged this, nor admitted what is likely to happen if HMRC enforce the Loan Charge this year. We urge all who have faced the Loan Charge to heed the Loan Charge and Taxpayer Fairness call for evidence, so that we can fully understand the position people are in and the likely impact”.
Greg Smith MP, Co-Chair of the Loan Charge and Taxpayer Fairness APPG (Conservative):
“The Loan Charge remains a significant and deeply worrying issue and the Loan Charge and Taxpayer Fairness APPG will continue to raise it. We wish to understand the situation facing those facing the Loan Charge and those who have settled, so that we can even more strongly make the case to the Treasury to show compassion and to come up with a fair resolution that avoids the many bankruptcies and breakdowns that otherwise will alas happen”.
Mohammed Yasin MP, Co-Chair of the Loan Charge and Taxpayer Fairness APPG (Labour):
“We remain very worried at the devastating consequences should HMRC enforce the Loan Charge. We urge people to take part in the call for evidence and help us show the reality of this cruel retrospective policy and put more pressure on the Government to do the right thing and look at the whole issue again properly”.