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taxadvisor.uk
taxadvisor.uk, Chartered Certified Accountant
Category: Tax
Satisfied Customers: 4972
Experience:  FCCA - over 35 years experience as a qualified accountant (UK based Practitioner)
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I am a landlord with a sizeable property portfolio-normally

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I am a landlord with a sizeable property portfolio-normally generating about £250k per year pre-tax profit. I am an individual sole trader.
last tax year, my bank, after FCA inspired investigation, was found to have overcharged me interest of £150k over the last 2 tax years. but rather that make the payment to me, the bank unilaterally decided to retained the overcharged interest and simply credited it to the loan account. This obviously leave me with a massive cash flow issue, as I will have to pay an extra tax of £67.5k in January 2015, without the corresponding cash income to settle the tax.
my question is this:
Is there any way I could bring this to HMRC attention to gain some forbearance of say 6 mts to make this extra payment?
Submitted: 1 year ago.
Category: Tax
Expert:  taxadvisor.uk replied 1 year ago.
Thank you for your question...You should contact HMRC at your earliest opportunity and advise the circumstances surrounding this exceptional item giving rise to super profits in the tax year.You should prepare a constructive plan to pay this additional tax.HMRC would be receptive to some sound and practical payment plan.If you have a professional accountant, you may seek his/her input in drawing a feasible cash flow plan for presentaion to the tax office. A payment plan of clearing the liabilty in less than 12 months is doable. I hope this is helpful and answers your question.If you have any other questions, please ask me before you rate my service – I’ll be happy to respond.
Customer: replied 1 year ago.
ok thanks
Expert:  taxadvisor.uk replied 1 year ago.
Thank you for your reply.
If you are happy and there are no more issues I will appreciate if you would kindly rate my service/accept the service I have provided to ensure I get credited for it by Just Answer.
Best wishes.
Customer: replied 1 year ago.
can we skype then
Expert:  taxadvisor.uk replied 1 year ago.
Thank you for your reply.
I am sorry but I don't have skype.
Customer: replied 1 year ago.
ok-thanks then
Expert:  taxadvisor.uk replied 1 year ago.
Thank you for your reply. If you are happy and there are no more issues I will appreciate if you would kindly rate my service/accept the service I have provided to ensure I get credited for it by Just Answer.
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Expert:  taxadvisor.uk replied 1 year ago.
I thank you for accepting my answer.
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Best wishes.

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