Received letter from HMRC, debt is not ours

danguy

Hello, sorry if this is posted in the wrong forum, I could not see where I should post it.

My mother has recently received a letter from HMRC regarding a debt of over £17,000 dating back all the way to 2004 for one of her ex partners antenna installing business.

What we need to know is what can we do about it, my mother was not even involved in the running of the business and he had started it up long after they split up but at that time they were still on speaking terms.

I dont understand how they have got our new address since we have moved out of the area, mum no longer speaks to him and we do not know where he is now living.

Mum has already phoned them up to say this is not her debt, they said ok we wont send any more letters but another one arrived today demanding money or they will send someone round to remove items from the property.

What can we do please.

Thanks.

Gazzafatcityboy

danguy wrote: »

Hello, sorry if this is posted in the wrong forum, I could not see where I should post it.

My mother has recently received a letter from HMRC regarding a debt of over £17,000 dating back all the way to 2004 for one of her ex partners antenna installing business.

What we need to know is what can we do about it, my mother was not even involved in the running of the business and he had started it up long after they split up but at that time they were still on speaking terms.

I dont understand how they have got our new address since we have moved out of the area, mum no longer speaks to him and we do not know where he is now living.

Mum has already phoned them up to say this is not her debt, they said ok we wont send any more letters but another one arrived today demanding money or they will send someone round to remove items from the property.

What can we do please.

Thanks.

What was the debt for? does it say within the letter? corporation tax, personal tax, self employed?

danguy

It doesn't quite say, The letter says they require payment for overdue VAT payment. He was self employed and the sole person.

Gazzafatcityboy

Okay thats a bit more information to go on.

Now other people will correct me if I am wrong here but my understanding is that VAT has to be settled every quarter and his he was a sole trader, we was soley responsible for this. A difference would be if he was a limited company.

I would be concerned if your mum was involved with the business at all i.e. she is named of the business as a partner.

Ring them again and record the details of whom you spoke to and so when they tell you that your mum isnt liable get that in writing.

danguy

No my mother was not involved in anyway. The guy was so bad with money that she didn't want to be involved with him financially, not even a joint bank account.

Thanks for the replies, ill get back to HMRC then report back what happens

Thrugelmir

Who was the letter addressed to?

longtermplanner

Unless the letter was adressed to your mum, there is no problem. If any bailiffs turn up, tell them that X no ,longer lives with your mum and you have no idea where he is because they broke up in 2006 or whenever.

If the letter is adressed to your mum, she needs to phone them up again.

antonic

danguy wrote: »

Hello, sorry if this is posted in the wrong forum, I could not see where I should post it.

My mother has recently received a letter from HMRC regarding a debt of over £17,000 dating back all the way to 2004 for one of her ex partners antenna installing business.

What we need to know is what can we do about it, my mother was not even involved in the running of the business and he had started it up long after they split up but at that time they were still on speaking terms.

I dont understand how they have got our new address since we have moved out of the area, mum no longer speaks to him and we do not know where he is now living.

Mum has already phoned them up to say this is not her debt, they said ok we wont send any more letters but another one arrived today demanding money or they will send someone round to remove items from the property.

What can we do please.

Thanks.

What was the legal entity of the business ? - did her ex-partner set it up as a Sole Proprietor or was she a Partner in a Partnership ?.

If it was a Sole Proprietor then she has nothing to worry about, all she needs to do is return the letter to HMRC and say he doesnt live at her current address.

If she was a partner in a partnership then she is joint & severally liable for the debt - this means if HMRC cant trace him she is liable for the WHOLE debt, not just 50% of the debt.

Post back if you need more help.

fatbelly

I think I'd correspond in writing.

Powered_By_Pies

Sounds like he might have started a business putting her name down as a partner in the business purely so they can try and dodge the debt and lay it on her doorstep. Very dodgy.

Contact HRMC if you have any doubts and explain this to them. They night need to pass this to the police for them to investigate as potential fraud.

dancingfairy

I would write to them as you may need a paper trail. I really wouldn't take someone's word for it over the phone.
df