Im getting frustrated and annoyed with this VAT issue and i haven't completed yet lol!!
I don't understand why they just didn't apply the new Vat rules to new IVA's after the decision was made and old IVA's like mine stay as they are, its been paid across so job done. All they are doing is putting people who want to restart there lives after an IVA on hold, stuck in a groundhog day situation when will it be over!
Will i be still waiting for a completion certificate this time next year? will i be paying half my OT across each month until the certificate comes through, what if i win the lottery 10 months after the last payment, its a joke of a situation to be in, im not blaming the IP's in case i get mis-read. But we have suffered enough on tight budgets to pay our creditors back and while yes 50% has been written off, i want my life back!! [:)]
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by antm
Im getting frustrated and annoyed with this VAT issue and i haven't completed yet lol!!
I don't understand why they just didn't apply the new Vat rules to new IVA's after the decision was made and old IVA's like mine stay as they are, its been paid across so job done. All they are doing is putting people who want to restart there lives after an IVA on hold, stuck in a groundhog day situation when will it be over!
Will i be still waiting for a completion certificate this time next year? will i be paying half my OT across each month until the certificate comes through, what if i win the lottery 10 months after the last payment, its a joke of a situation to be in, im not blaming the IP's in case i get mis-read. But we have suffered enough on tight budgets to pay our creditors back and while yes 50% has been written off, i want my life back!! [:)]
I'm just getting more and more confused and frustrated the more I read. I felt elated in December when the F&F was accepted..now I feel like I am in limbo indefinitely and unable to move on.
The situation is disgusting, you've met your end of the agreement and you get this rubbish about VAT.
Last Payment - November 2011 - Completion Certificate received 2 weeks after last payment, Removed from Insolvency Register within 4 weeks after last payment.
There is nothing we can do about it until HMRC start to repay the claims that IPs have submitted. I have now sought my own legal advice on this matter, and it is very clear that IPs who close cases run the risk of being personally exposed from creditors if they are unable to obtain the VAT refunds due to case closure.
I never put my head above the parapet to be shot at whilst I was in the Army, and I am not going to do so now. As I have said many times recently on this forum, IPs are just as frustrated as this as you are - but the answers lie firmly in the hands of HMRC who - having confirmed that we were correct to charge VAT in 2007 have now U-turned.
Just to confirm Melanie, is the risk of being held personally liable by the creditors the sole reason for IPs being advised not to close cases?
If so, my suggestion for the debtor to loan the Supervisor an amount equivalent to the refund until such time as it is received so that they can forward it to the creditors, must remove the IPs risk and enable them to close the case.
It's a win win for everyone - the creditors get their money earlier, the IP gets a fee earlier and the debtor gets final resolution (and hopefully gets the loan back in due course when HMRC finally refund it)
Last edited by vince666 on Mon Feb 06, 2012 10:24 pm, edited 1 time in total.
So a debtor in an IVA that is still active is supposed to go and find a loan from someone for XXXX thousands of pounds (at zero interest) to enable them to get closure.
Must be the most ridiculous and most stupidous idea I have ever heard on this forum,
Last Payment - November 2011 - Completion Certificate received 2 weeks after last payment, Removed from Insolvency Register within 4 weeks after last payment.
herbekj, with due respect, it is neither ridiculous or stupid as a possible solution to a problem which IS both ridiculous and stupid. If it works for Vince, and he is happy to do it, that's fair enough. There will be many who wouldn't wish to take this course, me being one of them, but, if it works for those that wish to do so .. more power to them.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
herbekj, don't assume we are talking thousands of pounds here - in my case I believe the maximum is £600. The claim can only go back four years from the date it is submitted to HMRC, so for anyone currently in "closure limbo", the expensive nominee fee would not be caught (excluding early F&F settlements), you are just looking at the VAT on 48 monthly supervisors fees (probably less as VAT will not have been charged in the last few months)
For me, although in principle I shouldn't have to pay anything further, I'm prepared to kiss goodbye to another £600 so that I can get on with my life (not to mention remove the possibility of any future windfall being lost)
I'm sorry if you think my idea is stupid, but at least I'm trying to come up with ideas rather than just accept what everyone agrees is a totally unfair position.
Last edited by vince666 on Mon Feb 06, 2012 10:54 pm, edited 1 time in total.
Vince - I've answered your post on the other running thread. You should take your own advice on this matter. And just for the record I don't think that your suggestion is at all stupid if it works for you and there is a perceived benefit.
I suppose the way to look at it is an axtra couple of months IVA payments. Having reconsidered my position, mentioned above, in the right circumstances it could be a worthwhile "investment" .... an extreme example, and the figures are entirely ficticious: You have just made you last payments, parents are very elderley and frail, you stand to inherit, say, £90,000. If the worse happens and they pass away in the next 4 months, you stand to lose most, if not all of the inheritance. In this scenario, gambling £600 against being able to retain £90,000 seems a worthwhile bet.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
I've managed to get headway on the issue of windfalls and inheritances received once a debtor has fully complied with the terms of the arrangement - ie paid all of the monies in which are due. The legal advice is that a Supervisor should not call for such monies which seems entirely fair to me.
