Over recent months we have seen HMRC's attitude to Time To Pay (TTP) arrangements and debt enforcement tighten up. We understand that new HMRC guidelines are to:

 - Reject TTP requests without up to date accounts and forecasts;

 - Reject any deferment for a period of more than 3 months, which is a major change;

 - Reject any deferment request;

 - Avoid any suggestion that they are providing working capital growth or capital for investment, as such capital has to come from commercial sources; and

 - Look to the recent dividend history and the levels of director remuneration

In addition, we have been made aware that HMRC are making increased use of their power to distrain upon and remove assets in instances where either TTP arrangements have been rejected or are in default.

To discuss any of the points in finer detail, please contact Matt Howard - matt.howard@uk.pkf.com