The following are a selection of case studies, based on actual cases where TaxDebts has been involved with negotiations with HM Revenue & Customs. No two sets of circumstances are ever the same. TaxDebts will deal with cases on their own merits, based on the specific facts of the case. In practice, HM Revenue & Customs also generally deal with cases based on their individual facts and merits. TaxDebts therefore cannot guarantee similar results to those achieved below.

Case Study 1 - A Tax Debts Happy Ending

Mrs X approached us with an outstanding income tax liability of £1,600. She had struggled to maintain previous payment commitments and was in financial difficulties with her unsecured credit arrangements. To make matters worse, Mrs

X was a self-employed gardener, and was therefore subject to severe income fluctuations.

TaxDebts took on her case. We prepared an Income and Expenditure breakdown, and approached HM Revenue & Customs (HMRC) to offer monthly instalments. These proposals were accepted by HMRC over a period of 12 months.

Case Study 2 - Never Too Late For Tax Debts

Miss Y had an outstanding income tax liability of £3,028. She had previously been self- employed, but unfortunately had to close the business due to financial difficulties.

TaxDebts submitted an Income and Expenditure statement to HM Revenue & Customs (HMRC). Despite the fact that Miss Y had not managed to maintain any previous payment arrangements with HMRC, an offer was accepted to spread her tax debt over a period of six months. Happily, Miss Y paid all her tax instalments on time. HMRC subsequently accepted an offer to pay a subsequent tax liability over a further six-month period.

Case Study 3 – A Cry for Help To Tax Debts

Mrs Z approached TaxDebts for help. She had an outstanding income tax liability of £16,937, which was understandably causing her a great deal of anxiety. Due to the circumstances of this case, HM Revenue & Customs (HMRC) offered monthly repayment terms, but were insistent on a lump sum payment of £5,694 being made before any instalment arrangements could be implemented.
TaxDebts supplied a financial breakdown to HMRC, and explained that Mrs Z was looking to raise additional funds within 12 months. We successfully negotiated a lump sum payment of £2,000. Mrs Z’s instalment offer was subsequently accepted over a period of 6 months.

Case Study 4 – Right Up-To-Date With Tax Debts

Mrs D approached TaxDebts concerning an outstanding income tax liability of £12,029 resulting from an earlier period of self-employment. In addition, Mrs D had not submitted all her self-assessment tax returns to HM Revenue & Customs (HMRC) for earlier years.

TaxDebts took the case on, and approached HMRC with an instalment offer of £212.50 per month, which was accepted on the basis that Mrs D submitted her outstanding self-assessment tax returns to them for the period when she was self-employed. Fortunately, Mrs D duly brought her tax affairs up-to-date, and properly maintained her monthly payments.

Case Study 5 – Multiple Tax Arrears

Mr & Mrs H had multiple tax debts. They had a VAT liability of £21,660 and an income tax liability of £13,000. They came to TaxDebts because HM Revenue & Customs (HMRC) were pressing for payment.

TaxDebts contacted the two separate HMRC Offices dealing with their case. Offers to pay by monthly instalments were made on Mr & Mrs H’s behalf of £254.83 & £144.67 respectively to settle both liabilities.

Mr H is a self-employed courier, and despite their payment history being somewhat erratic, HMRC are considering the offers made on the basis that all tax arrears are brought completely up-to-date.

Case Study 6 – Raising Funds To pay A Tax Debt

Mr M is employed as a commission-only sales representative. He approached TaxDebts owing £8,428.00 in respect of an income tax liability under self-assessment. Mr M asked TaxDebts to help.

We made an initial offer to HM Revenue & Customs (HMRC) of £425, and pointed out that Mr M is now putting his property on the market in order to raise the full funds to clear all his outstanding liabilities. We were able to explain to HMRC that Mr M needs a period of time with instalment arrangements, whilst his ex-partner is being removed from the title deeds to the property.