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JustPlainStupid

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Post by JustPlainStupid » Wed Jan 13, 2021 7:37 am
The 5 year anniversary of my IVA passed in September 2020. As of August 2020, I was due to hit 100% so my payments stopped. BUT... HMRC logged a debt at the very last minute. Too late, it seems, to just be added to the bill. They logged a debt of about £4000. I called them at the time and they agreed that it was wrong. I think I owe something. It's not for tax, it's for penalties going back to about 2014 for not filing my tax returns.

Now, my IVA company seem to have washed their hands of it and HMRC tell me it's been passed to their insolvency team. They told me it should be done and dusted by the 7th December but still nothing and they are telling me that I can't talk to this insolvency team.

So, despite the fact that HMRC had 4 years and 11 months to log this, they're now scuppering any chance of completing.

I don't really know what to do next. When I started my IVA I was due to pay 45% back. I've covered what all debtors agreed at the start and then some. As I say, I ended up paying back 100% including all fees, etc.

Any thoughts?

Foggy

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Post by Foggy » Wed Jan 13, 2021 10:24 am
If you are still in your IVA then your IP should assist. I would raise a complaint with him or her and then with their regulatory body if needs be.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
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JustPlainStupid

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Post by JustPlainStupid » Wed Jan 13, 2021 10:57 pm
Cheers, Foggy. Just to clarify... am I complaining that the IVA co haven't picked this up, or am I complaining that HMRC logged this so late? Or both?

All that seems to have happened at the moment is that I started to get regular texts from the IVA company saying they'd tried to contact me and I needed to ring them I did that and they told me what I already knew but couldn't help. At the start of this, that would happen weekly. I've now blocked the number on my phone as it's like going back 5 years and getting chased by the credit card companies.

GaryB1968

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Post by GaryB1968 » Thu Jan 14, 2021 7:27 am
If the debt was pre your IVA starting then you should be protected by the IVA. You are saying your IVA company advise they cannot help then I would question why? Debts can be included and if less than 10% of your overall debt level then there is no need to hold a variation where HMRC and your other creditors would be asked to Vote.
Who is your IP / IVA company. As previously advised by Foggy liaise with them and if state cannot help then raise a complaint as should be able to assist as long as debt was before your IVA started. From your notes you advise from 2014 and believe your IVA from 2015 so should be OK. I would say that although it is frustrating don't avoid your IP as they can fail your IVA and so close to the end this is not worth it.
If you do raise a complaint and they still wont help then escalate to the IP gateway to log it with your IP's regulator

Foggy

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Post by Foggy » Thu Jan 14, 2021 8:32 am
Wed Jan 13, 2021 10:57 pmJustPlainStupid wrote:
Cheers, Foggy. Just to clarify... am I complaining that the IVA co haven't picked this up, or am I complaining that HMRC logged this so late? Or both?

All that seems to have happened at the moment is that I started to get regular texts from the IVA company saying they'd tried to contact me and I needed to ring them I did that and they told me what I already knew but couldn't help. At the start of this, that would happen weekly. I've now blocked the number on my phone as it's like going back 5 years and getting chased by the credit card companies.
As Gary says: complain that the IP is leaving you out to dry.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
http://foggy.blogs.iva.co.uk

JustPlainStupid

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Post by JustPlainStupid » Sat Jan 16, 2021 1:50 pm
Thu Jan 14, 2021 7:27 amGaryB1968 wrote:
If the debt was pre your IVA starting then you should be protected by the IVA
Wait... So if the debt accrued before the IVA started and they didn't register it at the start then they can't collect? But if the debt accrued within the 5 years then it can be added to the pile?

I just want to understand before I start rocking any boats.

I can't remember what the debt was. I paid back about £80k including fees, etc, which (without this late HMRC debt) constitutes 100p in the £. Can they really still fail it?

Foggy

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Post by Foggy » Sat Jan 16, 2021 1:59 pm
Sat Jan 16, 2021 1:50 pmJustPlainStupid wrote:
Thu Jan 14, 2021 7:27 amGaryB1968 wrote:
If the debt was pre your IVA starting then you should be protected by the IVA
Wait... So if the debt accrued before the IVA started and they didn't register it at the start then they can't collect? But if the debt accrued within the 5 years then it can be added to the pile?

I just want to understand before I start rocking any boats.

I can't remember what the debt was. I paid back about £80k including fees, etc, which (without this late HMRC debt) constitutes 100p in the £. Can they really still fail it?
It isn't up to them to register the debt, it is up to you to declare it. HMRC debts are dealt with differently and I cannot comment on the rights and wrongs or the timescales for declaration / confirmation of amounts involved (which, to me, appear to be too lax and woolley for all creditors in any event). This is where your IP ( not his or her minions ) should be advising you. This is what they are trained for and, indeed, being paid for.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
http://foggy.blogs.iva.co.uk

GaryB1968

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Post by GaryB1968 » Mon Jan 18, 2021 7:31 am
Just to clarify the situation re the debt - if it was from before your IVA started then it will be covered by the IVA even if it was missed initially. You just need to make your IP aware so they can liaise with HMRC to resolve the matter. If it has accrued after your IVA started then you will be liable for the debt and you will need to come to an arrangement with them.

Foggy

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Post by Foggy » Mon Jan 18, 2021 8:35 am
Mon Jan 18, 2021 7:31 amGaryB1968 wrote:
Just to clarify the situation re the debt - if it was from before your IVA started then it will be covered by the IVA even if it was missed initially*. You just need to make your IP aware so they can liaise with HMRC to resolve the matter. If it has accrued after your IVA started then you will be liable for the debt and you will need to come to an arrangement with them.
*Subject to certain limitations as to relative amounts and it's affect on the dividend, which might need creditor approval if these are exceeded.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
http://foggy.blogs.iva.co.uk
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