Loan Charge latest

19th August 2020

Dear PAYadvice

Please review the updated settlement terms now available online

We would like to draw your attention to the most recent set of updates available on GOV‌.UK in relation to the Loan Charge. 

If any individuals have disguised remuneration loans that are subject to the Loan Charge, the deadline to report the details of their loans is approaching. These loans must be reported to us by 30‌‌ September 2020 using the online form on GOV‌.UK. Anyone who wants to spread their disguised remuneration loan balances evenly across the 2018-19, 2019-20 and 2020-21 tax years also needs to do so by 30‌‌ September 2020. They can do this using the same online form on GOV.UK.

To provide customers with more support, HMRC has published further information on the Loan Charge policy and how we support customers with tax debts.

Refunding voluntary payments made in disguised remuneration settlements

As a result of the recommendations in the Independent Loan Charge Review, certain voluntary payments (‘voluntary restitution’) made as part of a disguised remuneration settlement with HMRC can be refunded. 

We have published guidance about which voluntary payments can be refunded.

August 2020 disguised remuneration settlement terms

We have now published the new settlement terms for disguised remuneration loans not subject to the Loan Charge. If any of your clients would like to settle under these terms, please contact us using the details within the guidance. 

Further help and support    

Anyone subject to the Loan Charge who thinks they may have difficulties paying what they owe, should contact us. We want to help people to pay what they owe by working with them to agree an affordable payment plan.

Those with concerns can call us on 03000 599110, speak to their usual contact or email ca.loancharge@hmrc.gov.uk

Yours sincerely

alison walsh signature

Alison Walsh

Head of Digital Communication Services

PAYadvice.UK 21/8/2020

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