H M Revenue & Customs TAX Ruling

[luckyjim37]

It would appear the wording of my last post was out of order.

It should have been worded that persons within the ROV industry who contribute to these forums on this thread have both itimated that the govenment of the day which happens to be Labour and Gordon Brown specifically are to blame for the state of the country and that the HMRC are not very helpful to our industry and in stopping SED would be acting in a negative way to our industry and the economy.

This thread is not about Uni0n membership but it has been mentioned a few times from page 1.

The comments I made were an off the cuff set of remarks in response to Liddlejohns remarks which I pasted to the top of my response.

I apologise if you feel that I voiced the opinion of the website as a whole which is wrong of me.

However in the response to the negative remarks made about the country I have lived in, served in the armed forces to protect and have always called home I will always find the time to point out the good and the great points of the fine nation.

We have a great schooling system, half decent health service (not brilliant but better than a lot of other countries), reasonably clean streets, decent water quality. All of these things need to be paid for. Our tax system is not that bad we pay less than Norway but more than Ireland. The government of the day is the one we voted in and most of the really big decisions are voted in by all sides of the house so the alternatives must agree with them to some extent.

I look at the ROV industry at the moment in a really positive light there is a lot of new blood around loads of new ideas and approaches to work which is refreshing. The only negative conversations I hear offshore at the moment are about money.

As I tend to point out to trainees do not get dependant on SED it may not always be there and don’t ask what another guy is on if the answer might upset you.

[James McLauchlan]

I apologise if you feel that I voiced the opinion of the website as a whole which is wrong of me.

Apology accepted and appreciated.

For those that missed the point of my last post.

The views of members posting in the Forum are not necessarily the views of ROVworld.com

[liddelljohn]

And my opinions are not always those of an entirely sane person either . 🙄

[Pugwash]

Merry Christmas everybody and a Happy New Year that includes all of us getting back to claiming our full SED 😛

Has anyone heard any more news ❓

[Moray]

Unfortunately ……

Need to keep up the pressure, write to your MP, sign the on-line petition, no one else can do it for you, its up to us, its our last chance !

Copies from sktax.co.uk

20th November 2008
We have now had the opportunity of reading a letter from Stephen Timms MP, Financial Secretary to the Treasury, regarding the Revenue’s interpretation of what constitutes a vessel. He appears to have backed away, quite significantly, from his earlier comments when he met a delegation of MPs on the 15 October.
It now seems that the Revenue will now get their way on disallowing a significant number of vessels from qualifying for the SED. At present we are all left hanging waiting for the revised guidance which is to be issued in February 2009.
We feel the best advice we can give is to continue to lobby your MP to make sure that the interpretation is not too draconian, and certainly not backdated into the 2007/2008 tax year. We can only wait and see exactly what the Revenue imposes on us.

[mind-when-this-was-fields]

Funny that one when the RMT have all ready placed a motion in the house of commons?? (which they won by the way)
So the RMT have all ready placed a story telling all *nion members that that the ruling has been defeated……..
But being an *nion member you would all ready know this lol :-))

[Moray]

You may find the Unions statements are a little premature and that they have now back tracked completely, reference the January RMT Newsletter, but hey you’d know that…..

Any vessel working on oil support as in installation, maintenance or repair for more than 5 days ONCE since April 2008 will be classified as an Offshore Installation and ineligble for SED for ever under the draft guidance.

This is not over yet, putting our heads in the sand and relying on the unions is not the answer, WE need to keep lobbying ouy MP’s, this is OUR responsibility, ask your mates if they have done it yet as well !

The following from link from taxation.co.uk sums up the presnt situation (as of end Jan 2009) and how we got into this in the first place.

http://www.taxation.co.uk/Articles/2009/01/28/53962/Gales+later.htm

[Ray Shields]

It would be better to add a link to such information rather than cut and paste items from other websites which usually breaches copyright.

[Moray]

Post edited, thanks for the reminder.

[Gamekeeper]

Still awaiting the guidance…………….

http://www.hmrc.gov.uk/manuals/eimanual/EIM33104.htm

[Moray]

Its true HMCR updated their website with some details of the Pride of South America ruling however the finalised SED guidance is still awaited.

The draft SED guidance document is however in circulation, I have sighted a paper copy but don’t have a link.

The catch all with regards to once an Offshore Installation always an installation after 5 days is part of the draft.

The link from taxation.co.uk sums up the present sitution from a legal perspective and is based on comments on the draft which if not revised will ensure than any vessel working on oil related work on location for 5 days will be ineligible for SED thereafter.

[Gamekeeper]

[The draft SED guidance document is however in circulation, I have sighted a paper copy but don’t have a link. ]

In circulation to whom? Please cut & paste by PM if available.

[The catch all with regards to once an Offshore Installation always an installation after 5 days is part of the draft. ]

Still TBC, awaiting the confirmed guidance.

[The link from taxation.co.uk sums up the present sitution from a legal perspective and is based on comments on the draft which if not revised will ensure than any vessel working on oil related work on location for 5 days will be ineligible for SED thereafter.]

Still TBC, awaiting the confirmed guidance.

[Moray]

Gamekeeper,

You can also read, http://www.sktax.co.uk/seafarers-tax-changes.php

Trust me, the latest draft of the SED guidance states that "a vessel that spends 5 days or more at a work location will be regarded as standing or stationed"

[Gamekeeper]

Moray, I have read the SK blurb & again there is nothing additional from the HMRC as yet, I for one will still await the revised guidance……. unless of course you are willing to scan & PM me the draft copy that you have sighted……….. 🙄

[Moray]

The consultation with HMCR is by invitation only.

The unions, Subsea UK, Chamber of Shipping and a couple of the subsea contractors are involved in the review.

The final guidance will be issued towards the end of this month.

The problem for us is explained in the two links I have posted both of which highlight the criticality of the definition of "substantially stationary".

The latest draft of the guidance, says that after 5 days in a "work location" HMCR will consider a vessel as "substantially stationary" and therefore if working on any installation, repair or maintenace relating to oil facilities an Offshore Installation.

Further clarification has been sought with regards to what constitutes "a work location" and the status of multi-role vessels in this latest version of the draft.

The latest update from the RMT,

http://www.rmt.org.uk/templates/internal.asp?nodeid=115954

A little different to the the original note from the RMT, following the meeting with Stephen Timms MP, Scretary of the Treasury 15 October 2008,

http://www.rmt.org.uk/Templates/Internal.asp?NodeId=113791

HMRC are getting their way, it may look like a ship, move like a ship and everyone may consider it a ship, but if it works on oil facilities in one place for more than 5 days once it will be an offshore installation forever.

This is in clear contradiction to the views expressed and the assurances given to MP’s on 15 October 2008.

The only chance we have of defeating this is to resume the political pressure by lobbying your MP requesting that they ensure HMRC follows the will of Parliament .

You can contact your MP as follows,

http://www.writetothem.com/?a=westminstermp

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