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Original poster

HMRC help needed re: outstanding tax returns

11 replies

topbannana · 12/08/2013 19:39

Quick outline so I don't bore you....
I used to run a business in partnership with my DM. Anyway things trotted along ok, we didn't make much and eventually I moved out to get full time work that actually supported my DS.
DM was then in charge of the books. She used one book keeer who did a runner, taking (or more likely simply not returning) several years of paperwork. Some returns were filed with crazy amounts of tax to be reclaimed on (though these were accepted by HMRC with no question) No money was reclaimed as I pointed out the mistake.
She then moved onto another book keeper who fleeced her, also lost paperwork and didn't file any returns (recurring theme here?)
Anyway the business is now closed, DM has retired. I however have several years returns missing, absolutely no paperwork to support anything and a home visit from HMRC tomorrow Hmm
I have tried to speak to them, they tell me I need to fill in returns to the best of my ability but can give me no clue as to how to do this.
So what do I do? This has been running for a couple of years now and I admit that I have buried my head in the sand a bit as it is so frustrating. I have even asked to be able to pay an amount monthly towards any debt I may have but they will not allow this without returns being filed Hmm
In all likelihood there was no tax to pay as every previous year we fell under the threshold. I cannot afford professional help and even I could, what would they do with zero figures to work on?
I really do want to get this sorted but cannot see a way forward. I am seeing this lady tomorrow morning and really could do with some ideas as to how to deal with the situation now.
Many thanks :)

OP posts:
Onesleeptillwembley · 12/08/2013 20:18

Try and get any figures you can. You will have to fill them in. Why didn't you de register or send in returns? You have no excuse, really. That's the line that will be taken.

Talkinpeace · 12/08/2013 20:19

HMRC notified you of this visit a month ago and you are asking the question NOW?

You'll need all the paperwork you do have
and any proof you can find that your income was only what was submitted.

If you were a partnership, was it properly dissolved?

Original poster
topbannana · 12/08/2013 20:37

That's the thing, I have literally no figures available :( Most of our expenditure was in cash so receipts are non existent. I know I can put estimated figures in but they would literally be a stab in the dark, surely I'm in no better position filing what in effect, is a fraudulent return?
I only got the call about the visit earlier today talkin I was happy to arrange it for tomorrow as I have nothing to hide and really want to get this sorted.

OP posts:
Onesleeptillwembley · 12/08/2013 20:43

You have a legal requirement to keep records. And fill in your returns. You must know this.

Onesleeptillwembley · 12/08/2013 20:44

And even if spending cash you get receipts.

Talkinpeace · 12/08/2013 20:49

Hmmm,
Personally I'd have asked for at least a month to give yourself the chance to get your stuff in order.
Having nothing to hide is not the same as having nothing to show.

If you cannot prove that the numbers they have been previously given were not understated, they will slap an assessment on you and it will not make your summer go well.

Spend the rest of this evening getting
EVERYTHING
you have about the business - and that your DM still has
and all of your personal bank records
sorted by category and date newest on top

and then make sure the house is tidy - if you LOOK organised ...
make sure your DM is on the phone, or even better THERE

and pray

Original poster
topbannana · 12/08/2013 21:16

onesleep and talkin,
Thanks for the advice. I am well aware that I need to keep records and I did, it's just that I don't have them now (two dodgy bookkeepers, a flood and then theft- you couldn't make it up Hmm)
So the purposes of this meeting I have nothing to show, I've had nothing to show for ages and never will have anything to show. Even if I asked for 6 months nothing would change. I even asked for an assessment but they keep telling me I need to file a return first.
I desperately want to get this cleared up but can't see a way to do so :(

OP posts:
Piddlepuddle · 12/08/2013 21:23

Ok. It is what it is. There is no point telling you what should have happened as it seems like you already know.

HMRC are going to expect you to be able to explain what happened and how much was earned / spent. If you honestly have no paperwork then I suggest you prepare estimates on what was brought in / incurred. They need to be as accurate as you can and they need to be realistic. Any old bank statements, bills, anything will help. They are assuming you made a tidy profit and you need to demonstrate how that wasn't the case.

If noone has any evidence they will only do the same thing - you need to give them the starting point, and preferably more. I can't believe that somewhere, somehow you don't have anything that can't help.

It is in your interests to be as obliging as possible so get thinking!!

Talkinpeace · 12/08/2013 21:24

Be as organised as you can.
Admit nothing but be as helpful as you can.
Keep your cool
Keep them plied with coffee

Original poster
topbannana · 13/08/2013 18:39

Thank you everyone :)
All in all it was OK. I have 28 days to get the returns filled in, she advised me on a couple of issues I had and has put proceeding on hold until the 28 days is up.
Very relieved :)

OP posts:
Talkinpeace · 13/08/2013 19:50

Cool.
Please, please, please ask advice early before submitting those returns : UKBF are your friend

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