How do you spot them?
Some of the aggressive tax schemes available involved exploiting tax rules, to gain an advantage which HMRC claim parliament never intended. HMRC refer to such schemes as 'artificial and contrived'.
Promoters marketing such schemes will use tag lines such as: "fully compliant 90% take home pay solution" and claiming that they are HMRC approved, which of course is false information.
For your reference; take-home pay figures typically ranges from 48% to 56% of gross and this cannot be legally increased unless a successful SDC can be passed.
I use an aggressive scheme but I thought it was compliant?
Unfortunately, this is the reality in most cases.
Most agencies utilising a payroll solution don't fully understand the in;s and out's of how it actually works, therefore they don't actually realise that the solution that they are currently utilising is un-compliant.
However, the sad truth is HMRC will not accept 'we were unaware of the inner mechanics therefore we did not realise it was an un-compliant scheme and you will still be reprimanded for this regardless.
So, what should I do?
If you are utilising such scheme,es, we would advise that you move away from this immediately and speak to an FCSA Accredited member such as ourselves.
