Tax Debts of Contractors
Tax Debts can help contractors manage their debts to the taxman much more easily giving them much needed breathing space.
Contractors put money away for tax. However, sometimes they are out of work for an extended period, especially during a downturn in the economy.
They still have to eat and the mortgage and car loans still need to be paid.
They may have dependents as well, like a partner and children.
Paying the Bills
So, rather than let them all starve and be homeless, the contractor often uses his, or her, tax money, that has been set aside, to pay the bills.
He, or she, hopes against hope that they will be back in work again soon and be able to replace the tax money that they are now spending.
Sometimes that happens and sometimes it doesn’t.
Contractors sometimes wake up in the middle of the night on a cold sweat wondering what is to become of them and what will happen if the taxman comes calling?
Will they be in terrible trouble?
Would they even go to jail?
There’s no need to worry.
Negotiating with HMRC
HMRC has seen this situation before many times and they would be willing to negotiate, using a third party, for the tax debt to be paid in small amounts initially and then the payments increased when the contractor goes back to work.
However, the contractor is best to not just walk into ‘the lion’s den’and ask for a deal.
That’s where Tax Debts comes in.
Smaller Payments
It negotiates those initial smaller payments for the contractor, while he, or she, is out of work with the taxman.
So why can’t the contractor’s Accountant do that?
The answer is that they don’t like to be too well known to the taxman as it could impact other accounts that they have with contractors and others.
Indeed Accountants often contact Tax Debts to ask them to liaise with HMRC over a contractor’s tax debts and their repayments.
Unpaid Tax Bill
Tax Debts can:-
- Help you to pay your unpaid tax bill and VAT bill.
- Solve problems for you like self-assesment.
- Help you gain control over your finances and pay your tax bill.
- Give you more time to concentrate on your business.
Cutting Back
When contractors are out of work they will try to cut back on their expenditure.
However, failure to do so properly will result in a downward spiral of credit card debts and larger loans. Financial difficulties can often be severe and cause much heartache.
Many a marriage has broken down because of financial difficulties.
Mortgage payments can be missed.
Doing Your Accounts
Legally, tax debts are a priority. You must make your returns. The next step is then to pay your tax.
What if you can’t?
Well, there is a solution.
Tax Debts can give you peace of mind by helping you manage your tax debts as well as your other credit commitments.
Tailored Tax Solutions
They have a variety of options. Furthermore, their tax experts will tailor the solution to your needs and best interests.
They can negotiate with HMRC on most outstanding tax bills. They can, also, assist in agreeing acceptable and affordable monthly instalments with them.
So, for a free consultation with an experienced tax advisor just fill in the form below and Tax Debts will be in touch.
They will help put your mind at ease.
