31st January tax bills

Author: Samantha Nicks

It is really important for any person who has difficulty in paying their tax bill to obtain professional help asap especially as we are looming the 31 January deadline for tax returns to be filed. The HMRC claim penalties for late payment and encourage tax payers to negotiate a payment plan and let them know of any financial difficulties in advance.

We do a lot of bankruptcy work and we notice that some people lose their homes because they cannot afford to pay the mounting penalties which accrue for late payment. Unfortunately, many people in financial difficulty in debt suffer from the ostrich syndrome. They simply bury their head in the sand which is the worst thing they could possibly do, as the problem will not disappear but only become worse. Most people are ashamed of the fact that they cannot pay their debts although this is an ever growing problem. Sometimes people avoid opening their post, afraid to see unpaid bills and do not divulge their problems to others nor do they seek professional help.

There has to be more of a culture whereby people seek help in good time as this is the smartest way of a sensible resolution being obtained and in attempting to remove the risk of a soaring tax bill, penalties and interest being claimed and bankruptcy which inevitably leads to a trustee in bankruptcy being appointed to sell the family home.

As London's leading bankruptcy solicitors we can help reduce the challenges that trustee bankruptcy can brings such as:

  • transactions at an undervalue

  • preference payments,

  • defrauding creditors etc.

We help defend bankruptcy petitions acquiring annulments bankruptcy ordering, saving the family home. Defending claims against family members and directors brought by trustee in bankruptcy.

    To apply to go bankrupt you’ll need to pay a £680 fee. Other disadvantages of going bankrupt include:
  • If your income is high enough, you’ll be asked to make payments towards your debts for 3 years.
  • It will be more difficult to take out credit while you're bankrupt and your credit rating will be affected for 6 years
  • If you own your home, it might have to be sold (but you may be able to apply to your local authority for re-housing).

In short, the message is act now and seek help before the situation becomes worse.

For more information visit: http://www.westlondonlaw.com/