I am confused as to whether I should be paying 'balancing charge' ?

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by Surferman » Sat May 06, 2017 7:45 am
IVA and SA Balancing charge....
My IVA was approved on 15th April 2015, and HM Revenue & Customs are included as one of my creditors.

I received today a demand from HM Revenue & Customs Debt management dept. a demand to pay £145.60 "Balancing charge" for period ending 05-04-2016, with interest accruing at £0.01 per day until paid.

Should I be paying this or not? I am confussed as it is for the period 06/04/2015 - 05/04/2016, and during this period (15/04/2015) my IVA was approved.
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by kallis3 » Sat May 06, 2017 7:56 am

I personally think it should be included but I'm no expert on HMRC. Hopefully one of the others will be around with help - otherwise, speak to your IP company on Monday.
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by Foggy » Sat May 06, 2017 8:53 am
I agree with Kallis, but, likewise, am not "au fait" with HMRC matters regarding IVA's --- indeed, I do not even know what a "balancing charge" is supposed to be for. It could well be something that does not get included in a debt solution.
Hopefully one of the Industry Experts who deals with HMRC will respond next week, if they don't look in between now and then.
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by redboxtree » Sat May 06, 2017 11:01 am
It looks like you disposed of an asset of the company and this is what is owed to balance out the corporation tax:

http://www.accountingweb.co.uk/any-answ ... ng-charges
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by Michael Peoples » Mon May 08, 2017 8:19 am
The liability for 2016/16 should be included as a debt within the IVA so I think this debt would be captured. A quick call to HMRC voluntary arrangements service would confirm and your IP could do this very quickly.
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