Need advice please - Self Employed, loan to pay tax bill

swmem

I have had an unexpected tax bill of 23K, I am self employed and am living in rented accomodation. I have no savings left as I have had a very bad 12 months with little/no work, but the future is better, I have work in hand, money to come in, and work looks good in the future. I have no other debt problems...

I am looking for advice on where I could get an unsecured loan to pay my tax bill over 4-5 years (so as not to put too much pressure on me in lean times should they come around again, and to allow me to budget for future tax payments). I understand many companies do not lend to SE people and especially to pay their tax bills.

All advice appreciated.

Kind regards

swmem

BigCraigJohn

Thats a pretty big taxbill to be unexpected, dont want to be rude but have you had an accountant go over your books?, mine is priceless and saves me lots more than she costs.

swmem

am changing accountant... that is beside the point... am looking for a good reasonable lender who might be just the ticket... as my situation has improved. My guess is that once 31 March has passed and I am able to put in this year's figures it will be a different story, but that is four months away at least!

jonesMUFCforever

How long a timescale is that tax bill for?
One year ,two or more?
Unless your books show you making enough money to cover any repayments and affordability assessment then you might struggle to find a lender.

Have you approached the Inland revenue to see if they will accept stage payments from you?

BlondBoy

I'm self employed too and sympathise. That's one helluva big bill to be unexpected though.

I'm not aware of a lender that may help (I wouldn't get 2k from a lender, let alone 20k), but the only thing I can say is if you've had a rough year this year, a good accountant may be able to help you offset some losses against the tax liability. Are there any previous year losses you can also bring into play?

Depends how much HMRC are on your back really - if it falls due on Jan 31, they're unlikely to chase until Feb 28, fine you £100 etc and start charging interest. If you present good accounts on March 31 (with a good accountants backup) they may allow you to offset this year against the whole bill - but it's a risky strategy.

If they're already on your back, I wish you all the luck in the world, as it may not be pleasant. You said a good accountant is neither here nor there - but a ninja accountant really could help you out of a hole here.

Best of luck


Chris