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‘Pragmatism required’ on loan charge, says LITRG

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LITRG has expressed concern over the challenges faced by those attempting to agree loan charge settlements which resulted in them failing to meet the 30 September 2020 deadline. Some of the issues included delays in HMRC sending out settlement offers which resulted in individuals having ‘little time to agree them or seek advice’, misunderstandings about the administrative formalities required in agreeing a settlement, and unexpected final figures from HMRC.

Although HMRC is extending the 30 September 2020 deadline where someone was unable to reach a settlement agreement due to exceptional reasons beyond their control, LITRG believes HMRC’s approach to what constitutes exceptional reasons is ‘too narrow’. LITRG calls for HMRC to be sensible and pragmatic regarding the missed loan charge deadline and to take a wide view of what constitutes exceptional reasons, particularly where those affected had tried to comply with their obligations 

Issue: 1507
Categories: News