Melanie - do you think they would look more favourably at estimates because she is no longer self employed or would that not make any difference?
Reference the fact our IP put them into the IVA at £1 i think that had something to do with the fact she had ceased trading and wouldnt be accruing any more liabilty to them - does that sound correct?
Thanks for all your help and advice on this.
I think that HMRC expect all taxpayers to submit accurate tax returns, regardless of whether the business is still trading, however if you genuinely do not have the correct records to enable this to be done, I think you will have to put your hands up and explain the reasons for this and ask them to assess the sums payable.
Your IP ought to have made best efforts to calculate the tax payable - perhaps they did and the sum of £1 was deemed to be an appropriate amount to include. The fact that she was not going to incur more liability into the future, does not warrant setting the sum at £1 unless you had provided information to suggest that £1 was the correct sum due.
