uneasydaz
Well-Known Member
THE tax bill owed by the company which formerly owned Rangers has been cut by a further £3.1million
The tax authorities initially claimed £94.4million but that sum now stands at £64.5 million
The previous estimated figure was around £67million, following a write off of around £5.2m last December.
And the figure could still drop further with liquidators BDO claiming they have had a "number of positive discussions with HMRC in the last few months" with both parties agreeing "the next steps in seeking to resolve the remaining elements of the claim".
In a creditors' report yesterday, BDO, the accountancy firm handling the liquidation of RFC 2012, said that a legal case against the former administrators of the business is moving forward with a hearing set for May.
About £51 million of the tax authorities' claim is being disputed by liquidators - with the bulk of that relating to the use of employee benefit trusts (EBTs)
That issue, known as the "Big Tax Case", was seen as a significant hurdle to Sir David Murray, the club's former chairman, finding a buyer.
He eventually sold it for a token £1 to Craig Whyte in May 2011, who put the business into administration in February 2012
Attempts by administrators Duff & Phelps to negotiate a CVA, which would have offered creditors some form of return on their debts, failed with largest creditor HMRC voting against.
The business went into liquidation with the assets bought by a consortium led by Charles Green.
The latest reduction was from a claim concerning National Insurance contributions and PAYE which were not paid during Mr Whyte's ownership.
The bill was originally almost £13.4 million but has been trimmed to less than £10.3 million.
The liquidators agree that this sum and close to £3.1 million for the separate small tax case, relating to payment arrangements for the players Craig Moore, Tore Andre Flo and Ronald de Boer, is due.
Still in dispute is £48.9 million relating to EBTs, £1 million for the small tax case and £1.3 million of inheritance tax.
The update from BDO also shows a further £1.7 million was paid to HMRC in the 12 months to the end of October. So far the revenue has received close to £4.5 million from the liquidators.
A spokesman for HMRC told The Times: "The Supreme Court ruled in HMRC's favour in the case against Rangers' tax avoidance scheme.
"We continue to have a long-standing claim with the liquidators to recover the money due to taxpayers as a result of the [Supreme Court] judgment."
The BDO report adds: "The joint liquidators had sought detailed explanations regarding certain aspects of the strategy implemented by the joint administrators during the administration.
"Given the highly sensitive nature of the proceedings at this stage, we are unable to provide any more detail in respect of the claim."
The tax authorities initially claimed £94.4million but that sum now stands at £64.5 million
The previous estimated figure was around £67million, following a write off of around £5.2m last December.
And the figure could still drop further with liquidators BDO claiming they have had a "number of positive discussions with HMRC in the last few months" with both parties agreeing "the next steps in seeking to resolve the remaining elements of the claim".
In a creditors' report yesterday, BDO, the accountancy firm handling the liquidation of RFC 2012, said that a legal case against the former administrators of the business is moving forward with a hearing set for May.
About £51 million of the tax authorities' claim is being disputed by liquidators - with the bulk of that relating to the use of employee benefit trusts (EBTs)
That issue, known as the "Big Tax Case", was seen as a significant hurdle to Sir David Murray, the club's former chairman, finding a buyer.
He eventually sold it for a token £1 to Craig Whyte in May 2011, who put the business into administration in February 2012
Attempts by administrators Duff & Phelps to negotiate a CVA, which would have offered creditors some form of return on their debts, failed with largest creditor HMRC voting against.
The business went into liquidation with the assets bought by a consortium led by Charles Green.
The latest reduction was from a claim concerning National Insurance contributions and PAYE which were not paid during Mr Whyte's ownership.
The bill was originally almost £13.4 million but has been trimmed to less than £10.3 million.
The liquidators agree that this sum and close to £3.1 million for the separate small tax case, relating to payment arrangements for the players Craig Moore, Tore Andre Flo and Ronald de Boer, is due.
Still in dispute is £48.9 million relating to EBTs, £1 million for the small tax case and £1.3 million of inheritance tax.
The update from BDO also shows a further £1.7 million was paid to HMRC in the 12 months to the end of October. So far the revenue has received close to £4.5 million from the liquidators.
A spokesman for HMRC told The Times: "The Supreme Court ruled in HMRC's favour in the case against Rangers' tax avoidance scheme.
"We continue to have a long-standing claim with the liquidators to recover the money due to taxpayers as a result of the [Supreme Court] judgment."
The BDO report adds: "The joint liquidators had sought detailed explanations regarding certain aspects of the strategy implemented by the joint administrators during the administration.
"Given the highly sensitive nature of the proceedings at this stage, we are unable to provide any more detail in respect of the claim."
