[Paul Coleman]

[quote author=SherwoodCleaningSe link=topic=56451.msg480940#msg480940

If you are investigated by the tax man it will be a much more pleasant experience if you have been honest.

Simon.

If you do get investigated by the tax man it's usually because they have concerns with your accounts, therefor it wont be pleasant

"Usually" being the operative word I think.  Although most investigations are caused by apparent discrepancies in the figures, there is a chance of being pulled for a random check too - though I understand that this is less likely.

[Niall McAllister]

As quoted above
"Call me a cynic but I think that some (most) of the 35% who've voted they declare all earnings and tips are little fibbers"

In a world full of deceit, where lies seem to be the norm, is it any wonder people feel like this!
It is our own fault though...
Think about it, it's installed from childhood up... Father Christmas...  Tooth Fairy...  Easter Bunny! 
Get a little older... I am going around my friends for a sleep-over (going to mates and then off to disco!) 

Lie to Children!
Children lie to parents (Adults)! 
Parents (Adults) lie to Authorities! 

It's not your fault... Your programed from birth!!!

I have been brainwashed I believe in honesty...
SORRY, No matter how FAR-FETCHED it seems! 

I also don't think it's a stupid subject, obviously someone cared enough to ask the question/poll 

does this mean the taxman doesn't exist?

[kris martin]

obviously he does exist or else we wouldnt have to pay him twice a year well in my case four because i never have it all on time 

[Clive McDonald]

You'll all get an enquiry thats certain.

What may surprise you is that everyone has to cough up. No matter how good you are at the end you will get a bill and you will have to pay it.

They enquire into one year only. Arrive at a figure that you agree with and then take it back seven years.(i'm simplifying).

It's laughable that some of the supposedly honest posters on this thread think that they would be fireproof.

[kris martin]

so discount have you had an enquiry

[Clive McDonald]

I haven't been enquired for wc because i've only been going a year, but yes i've had two.
I also know quite a few people who've had them. They go on for months, sometimes over a year, and they can destroy peoples lives and leave them very bitter.You might gather from my posts that i also like to read business books, and all the big boys such as gordon ramsey, richard branson etc have had them too. They don't fare any better than the rest of us.In jeffery Archers prison diaries many of his cell mates had had them.

He tells a good story of a restaurant in london, a famous one, that didn't accept any credit cards and only took cash.The owner was quite brilliant, none the less the bill was two million and four years.

If you get looked at they most probably would ask you to account for your cash.

[twt]

Ive heard from other people that even honest people when investigated by the tax man will have something which the tax man wont quite agree wth no matter how hard they try to comply with the law.

[Sir Squeaky]

You'll all get an enquiry thats certain.

What may surprise you is that everyone has to cough up. No matter how good you are at the end you will get a bill and you will have to pay it.

They enquire into one year only. Arrive at a figure that you agree with and then take it back seven years.(i'm simplifying).

It's laughable that some of the supposedly honest posters on this thread think that they would be fireproof.

Rubbish, they can't prove what you take in cash.

I've never heard of anyone investigated either, so your "all get an enquiry" is absolute garbage. :

[pingu]

The Taxman is all powerful and has many weapons in it's armoury and to dismiss their powers is a very blinkered view...The Taxman requires YOU to disprove it's assesments.

They will investigate eveything about you...as far as possible your every transaction/purchase....and when you really think about it....it is very hard to hide regular large amounts of cash unless you're life is completely cash based and even then...it's hard.

Dave.

[Clive McDonald]

Good old thick as a brick squeaks.

Unless you pay every single bill by credit card and never use cash you can't account for your personal outgoings;They can, and have cash tests that have been refined over many years to asses just how much you spend.They then ponder whether this matches your income.You don't have to agree, that doesn't matter, but if you cooperate, and are honest the bill you get is likely to be less.

The reason we will all get one is two fold.

One they are getting rid of low level clerical staff because computers and online tax filing is making them unnecessary, whilst at the same time  upping the number of actual tax inspectors who carry out these enquiries.

And two, these tax enquiries are very productive financially because they often look at people for the first time after they have been going ten years or so.

[AuRavelling79]

You'll all get an enquiry thats certain.

What may surprise you is that everyone has to cough up. No matter how good you are at the end you will get a bill and you will have to pay it.

They enquire into one year only. Arrive at a figure that you agree with and then take it back seven years.(i'm simplifying).

It's laughable that some of the supposedly honest posters on this thread think that they would be fireproof.

Rubbish, they can't prove what you take in cash.

I've never heard of anyone investigated either, so your "all get an enquiry" is absolute garbage. :

Squeaky, they are customs and excise and they don't need to "prove" anything - what they do is compare what you would have spent with your declared income over a given period.

They make reasonable allowances for cash spending on things such as shopping, the pub, fuel etc.  If you've spent more than you've earned they ask further questions about savings, gifts and they check your answers ...

When it all starts falling apart because your 1st clever answer is seen to be baloney no offer of tea and two sugars and chocolate hob nobs will stop them tracking further.

At best you get a bill as big as a pelican's which you take out a mortgage on, at worst you get done for fraud.

If you are dishonest then your only hope is that you are such a tiny minnow that you aren't worth the dosh to follow up. But if you get a random check "you'll be sweating like an inhabitant of Mississippi on a sexual assault charge!"  

And yes, I do know of a w/c that got checked ...

[Clive McDonald]

The  retauranteur who shared his story with Archer was brilliant, and had outwitted several investigation teams.Also in nick were several accountants.

[Sir Squeaky]

All my bills are paid by direct debit.
Any spending money is my missus's wages.
I don't use plastic apart from fuel, and that's straight out the account.
I don't pay anything cash.

What's wrong with that then?

They can't just assume, and expect you to pay up.
What if they reckon you earn double what you do? :
Crap, they have to prove it.

[Moderator David@stives]

Squeeky

You really do amaze me at times !!

Why is everything always "crap" you dont agree with ?

So you dont keep a rounds book and you dont take cash. The taxman is going to believe that isnt he ?

[simon knight]

I think the point with the IR is that they come down heavily on people who they feel are taking the pee. If you're outgoings are say £20k a year (net money) and you're declaring £15k (which after tax and NI is nearer £11k) in earnings then the shortfall of £9k has to be explained.

Now it could be that the wife also works, or you have savings or a very friendly bank manager in which case the IR would probably be satisfied.

But if none of the above apply then they start digging big-time, wanting to know the ins and outs of a duck's arse.

A mate of mine got investigated (not in our industry) over some expenses he claimed which the IR thought a bit "sniffy"....it went on for months and months. Nearly made the poor man have a nervous breakdown.

I'd sooner be kosher and sleep well....nothing to do with "honesty"...just fear!

[davids3511]

Good old thick as a brick squeaks.

Unless you pay every single bill by credit card and never use cash you can't account for your personal outgoings;They can, and have cash tests that have been refined over many years to asses just how much you spend.They then ponder whether this matches your income.You don't have to agree, that doesn't matter, but if you cooperate, and are honest the bill you get is likely to be less.

The reason we will all get one is two fold.

One they are getting rid of low level clerical staff because computers and online tax filing is making them unnecessary, whilst at the same time  upping the number of actual tax inspectors who carry out these enquiries.

And two, these tax enquiries are very productive financially because they often look at people for the first time after they have been going ten years or so.

This is just makeie up stuff. What does 10 years have to do with anything when you are only required to hold records for 6? You are making it up as you go along!

It is absoultley rubbish to think we will ever 'all' get one. Have you any idea how labour intensive it is to run a tax inspection? Have you any idea how many self employed people there are out there and how many staff and £££ it would take to investigate eveyone? They even have a rule that if they find any discrepancies and it amounts to under £100 they won't even bother asking you for it.

[kris martin]

i think this topic is crap, it dosnt need to be said we all know he could turn up if he wants and we all know it wouldnt be nice, all i have got to say is just be prepared (incase) anyway admin move this topic because i think that it is taking the focus off what this forum is about...

[kris martin]

especially if you have a website attached to your profile....  i cant believe you brought this topic back too the top of the forum

[Niall McAllister]

i think this topic is crap, it dosnt need to be said we all know he could turn up if he wants and we all know it wouldnt be nice, all i have got to say is just be prepared (incase) anyway admin move this topic because i think that it is taking the focus off what this forum is about...

for someone who finds this topic so bad, you spend a lot of time commenting on it
as window cleaning has a lot of cash in hand potential then this topic does relate to the forum :
and it was only ment to be a little pole to see where people stood on the subject.