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Post by chammers on Jan 24, 2021 12:21:26 GMT
LW continue to take money off us which was interest earned in previous years tax years (and many lenders will have paid tax on this interest). So how is this going to be reconiled this tax year?
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Greenwood2
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Post by Greenwood2 on Jan 24, 2021 13:22:01 GMT
LW continue to take money off us which was interest earned in previous years tax years (and many lenders will have paid tax on this interest). So how is this going to be reconiled this tax year? You can change your self assessment returns online for a couple? of years back. Otherwise you have to write to HMRC to get previous years tax changed. The process is on the Gov web site. All as I remember and understood it, I looked at this for a different problem a few years ago. Might be a good idea to talk to HMRC.
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johni
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Post by johni on Jan 24, 2021 15:06:50 GMT
Or bettern still as this is Lending Works creation ask them for the explanation agreed with HMRC. How any company can penalise existing lenders for their poor judgment then make those same lenders pay for their incompetence is beyond me. It also begs the question why they haven't asked the people who have left for some money back! If this is fair surely they cannot just penalise the people who have kept the company a float over the last 12 months?
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69m
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Post by 69m on Jan 24, 2021 17:18:51 GMT
The deadline for modifying a 2018-19 tax return is the end of this month, otherwise you have to write a nice letter explaining the situation.
However, I'll be staggered if LW produces a tax certificate that allocates our capital losses negative interest to past tax years. Bear in mind that we're still awaiting a monthly statement for December 2020 (something which should be a relatively straightforward process).
The easiest option would be to simply offset the negative interest against 2020-21 income, if possible.
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Post by fredblogs on Jan 24, 2021 19:38:32 GMT
I totally agree 69m but the problem is LW are refusing to declare what they call 'shield contributions' as a capital loss. Unless this is clearly defined as a REALISED CAPITAL LOSS on their statements I doubt the HMRC will recognise it as that. Furthermore if you wish to offset losses from p2p loans against other income tax, it can only be against income from other p2p loans. They will not accept an offset from any other form of income. It is not the responsibility of LW to give tax advice but they must however provide clients with the relevant documentation needed to operate their accounts. At present they are failing to do that. I have already raised this issue with them and if it is not cleared up soon the next step will be the FCA. With the appalling way that LW are functioning at the moment I am gobsmacked that the FCA allow them to continue lending, they have stopped other p2p platforms from writing new loans in the past when they have proved to be incapable of meeting these BASIC requirements.
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Post by markymark on Jan 24, 2021 20:30:34 GMT
I'm never sure why anybody ever uses the mention of the FCA as a form of possible resolution. All they seem interested in at the moment, is warning everybody how bad bitcoin is, and how you can loose all your money....They always fail to mention you could also make a lot of money....How strange! They'll happily standby though, and do sweet FA, while a supposedly FCA regulated business, failing through incompetent loan decisions, decide it's perfectly OK to help itself to investors funds, as an option to stay solvent. What an excellent business model, it must be the only one in the world that can't possibly fail, it doesn't matter whether or not the business is profitable, they just lock investors money away as they see fit, feed them a load of sugar coated corporate BS to justify it, and then help themselves to investors funds as required....Now if that isn't a case for a so called 'Financial Conduct Authority', then please someone tell me what is? The irony in this country!!!....If i walked in a shop and helped myself to a loaf of bread, i'd probably be arrested.
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