Citywire printed articles sponsored by:
View the article online at http://citywire.co.uk/new-model-adviser/article/a482075
Gateway sunk by £400k VAT bill for Ucis commission
by Iain Martin on Mar 30, 2011 at 09:00
Gateway Consortiumwas pushed into liquidation by HM Revenue & Customs over a £400,000 unpaid VAT bill for commission it received for the marketing of unregulated collective investment schemes (Ucis) to advisers.
Gateway founder Clive Holmes (pictured) confirmed the business, which operated as a ‘club’ promoting investment opportunities to IFAs, had been pushed into liquidation by the bill although disputed whether commission was liable for VAT.
‘We had a VAT inspection, then three days later this woman turned up and said “I don’t agree [commission is exempt from VAT]”,’ said Holmes. ‘We said: “what is the precedent?” but what can you do? Our accountant said we can appeal but it could cost tens of thousands of pounds.’
‘If they did this to the other networks it would pull the lot of them down,’ said Holmes, after a winding up order was made against the business on 2 February.
News sponsored by:
Today's top headlines
More about this article:
More from us