Question to the HM Treasury:

To ask the Chancellor of the Exchequer, pursuant to the Answer of 12 March to Question 229807, how HMRC communicated with people affected by disguised remuneration debt to ensure that they were aware that it was HMRC’s policy not to force the sale of a main residence in relation to a DR debt.

HM Revenue and Customs (HMRC) will not force somebody to sell their main home to pay their Disguised Remuneration (DR) debt.

This policy was confirmed verbally by HMRC officials at the Treasury Select Committee on 30 January 2019. HMRC also confirmed this long-standing policy in an issue briefing published on GOV.UK at:

https://www.gov.uk/government/publications/hmrc-issue-briefing-disguised-remuneration-charge-on-loans/hmrc-issue-briefing-disguised-remuneration-charge-on-loans

HMRC officials handling settlements relating to DR cases make this position clear to customers.

HMRC has also streamlined its approach to settlement for those affected by the DR loan charge by allowing up to 5 years payment terms for those now earning less than £50,000 and who are no longer engaged in tax avoidance without the need for detailed supporting information; and up to 7 years for those now earning less than £30,000.

For those with an income of £50,000 or more, or who need to pay over a longer period, HMRC can agree longer payment arrangements, for which there is no set maximum period, but individuals will need to provide supporting information.