Hi there,
My IVA is up for it's first annual review in January 2020.
I received a £4000 gift from my mum this year for much needed work on our house, furniture, new clothes & a few bills etc... I thought I was aloud to receive a gift of money but I can't find the T's & C's of the IVA. The money has been spent now and will show on my bank statements, which I have to send as part of my annual review - Am I at risk of loosing my IVA?
I have also started a new job with a higher salary, I have been waiting to receive a permanent contract before I informed the IVA provider of the change in income. Is that the correct procedure? (I understand I may have to pay more in to my IVA)
£4k is a lot, but if it is a gift to pay for your repairs and you can prove that with invoices I think you should be ok. I would inform them now although a lot of companies won't need to see any increase until your annual review and you do your I&E.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Tue Dec 03, 2019 7:20 pmIVA2010a wrote:
I wouldn't tell them its not tax deductible theyll never find out about it. Its non of their business if its a gift
This would work if it wasn't put through the debtors bank account --- if it appears on any statements the IP requests they might well question it. Any reasonable IP would probably accept the explanation that it was for repairs, but to steal from George Orwell, "Some IP's are more reasonable than others".
Incidentally not being tax deductible merely makes it a windfall.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Hi, thank you for your reply’s. I think I’ll not say anything unless they ask.
If they ask, Do you think it would make any difference if my mum had lent me the money instead of gifted it?
Tue Dec 03, 2019 7:20 pmIVA2010a wrote:
I wouldn't tell them its not tax deductible theyll never find out about it. Its non of their business if its a gift
Take care as you say it was paid into your Bank account so it may well be uncovered and it IS their business to determine where the funds came from.
If your Mum has large sums to be able to gift to you perhaps she might be willing and able to help you put forward a full and final offer to end the IVA early. Something to think about maybe?
