HMRC 2019 Loan Charge legislation

I wonder if anyone is suffering from the latest change of HMRC law (HMRC 2019 Loan Charge legislation) related to Contractors in UK.
The most relevant part of this law is that HRMC is claiming taxes from previous years with this new law. Outrageous! Yes, this is happening in UK!!
This law affects contractors that had contracts a long time ago 10 to 15 years ago!!, imagine that!!!
So, I have been working as a contractor for 5 years, and from 1 day to the other I can become broke!
Any suggestions, comments? I have heard that I can close my company? I can’t deal with this new debt! According to my accountants, there wasn’t anything illegal. Now HMRC is trying to sell it, as if it was! Unbelievable!

Thanks for your comments

I understand that this is a pretty shitty situation. From what I understand (from reading a couple of articles [1, 2] you essentially have a handful of options, neither very attractive:

  • Settle with HMRC. The deadline is next year, but you’ll have to register by May 31, 2018.
  • Pay the Load Charge next year
  • Pay back the loan in its entirety
  • Challenge the HMRC through litigation
  • Bury your head in the sand (don’t do this)

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