ILR (Tier 1 General visa) varied to Set(LR) with income discrepancies declared

[Katarin]

Hi everyone,
I had applied for ILR in Feb 2016 under Tier 1 general route, both as PAYE and Self Employed. After 6 months received the interview letter stating to wait for the date of it. I knew what this was all about, as when I started my self employment in 2010, which was the 1st year to qualify for Tier 1G, I had massive cancellations on my new started self employment. I had shown income of 26k to HO, but later filed a tax return for year 2011-2012 to HMRC for only 7K. So it looks I have not paid the taxes for the 19K which I declared to HO to get the visa but not to HMRC. However, again this was only due to the massive cancellations I had in my new started business.
My interview date came eventually in Jan 2017, and I explained to the interviewer that this was a new starting business, I had massive cancellations from the client, therefore there is discrepancy in tax for the 1st year only. I never amended any tax return, I simply submitted all as they were, according to the incomes made. The overall attitude of my interviewer was really good, he even said by this I explain the things, and I was given the time and chance by him to explain it all.
Since then though I never heard back from them. March 2017 I completed my 10 yrs long residence in the UK, and as my solicitor said instead of the continuous long wait I had a stronger case to switch into a new application under 10yrs long residence route due to the 1st year tax declaration discrepancy, and so we did.
Now my application with HO is under the long residence only as I switched, though until then I had no response anyway for the 1st application on ILR via tier 1G. The long residence application for ILR was filed in May 2017, and today has been 8 months I have not heard back from them. The only communication from HO was after 6 months when I was asked to fill in the questionnaire of taxes, which I did fill in and replied all the correct info as before stated also in the last application interview. Since then nothing heard, still waiting. Did anyone have any similar case? If anyone experienced this or heard of this, do you know if I have a chance? I understand I showed to HO higher income in my 1st year but declared to HMRC much lower, but what was I supposed to do if I had so much loss in the company, still pay incorrectly more taxes even if there was a loss? If I knew this would bring to so much suspicion I would have paid the taxes more for the 1st year, which was also incorrect, as In the end of the day I had loss in the company, which I did not have for the other years. Was I supposed to pay incorrect taxes to make the HO happy even if I had loss? Please let me know if there is a chance, and in case I am refused, would I win the case in the long run of appeals?
Many thanks to you all!

[makky86]

Hi everyone,
I had applied for ILR in Feb 2016 under Tier 1 general route, both as PAYE and Self Employed. After 6 months received the interview letter stating to wait for the date of it. I knew what this was all about, as when I started my self employment in 2010, which was the 1st year to qualify for Tier 1G, I had massive cancellations on my new started self employment. I had shown income of 26k to HO, but later filed a tax return for year 2011-2012 to HMRC for only 7K. So it looks I have not paid the taxes for the 19K which I declared to HO to get the visa but not to HMRC. However, again this was only due to the massive cancellations I had in my new started business.
My interview date came eventually in Jan 2017, and I explained to the interviewer that this was a new starting business, I had massive cancellations from the client, therefore there is discrepancy in tax for the 1st year only. I never amended any tax return, I simply submitted all as they were, according to the incomes made. The overall attitude of my interviewer was really good, he even said by this I explain the things, and I was given the time and chance by him to explain it all.
Since then though I never heard back from them. March 2017 I completed my 10 yrs long residence in the UK, and as my solicitor said instead of the continuous long wait I had a stronger case to switch into a new application under 10yrs long residence route due to the 1st year tax declaration discrepancy, and so we did.
Now my application with HO is under the long residence only as I switched, though until then I had no response anyway for the 1st application on ILR via tier 1G. The long residence application for ILR was filed in May 2017, and today has been 8 months I have not heard back from them. The only communication from HO was after 6 months when I was asked to fill in the questionnaire of taxes, which I did fill in and replied all the correct info as before stated also in the last application interview. Since then nothing heard, still waiting. Did anyone have any similar case? If anyone experienced this or heard of this, do you know if I have a chance? I understand I showed to HO higher income in my 1st year but declared to HMRC much lower, but what was I supposed to do if I had so much loss in the company, still pay incorrectly more taxes even if there was a loss? If I knew this would bring to so much suspicion I would have paid the taxes more for the 1st year, which was also incorrect, as In the end of the day I had loss in the company, which I did not have for the other years. Was I supposed to pay incorrect taxes to make the HO happy even if I had loss? Please let me know if there is a chance, and in case I am refused, would I win the case in the long run of appeals?
Many thanks to you all!

Your post title is very misleading. It says "ILR Refused" But its not refused yet.

10 year long residency will have all the same checks done as it would have been on tier 1. You should have waited for your t1 to ilr but based on your post you abused the system and will lead to refusal

[Katarin]

Sorry and thanks for your reply. I believe I simply posted my query on a created thread which must have created the mislead. Yes no refusal received in my case yet, but why is this considered a system abuse. I have a really good solicitor, somehow known even I would say, he had helped me through all of these years, so I trust he know the law pretty good. As per him my application is much stronger under the long residence route, and gas nothing to do with a system abuse!!! The fact that the 10 yrs route will of course carry the same checks is definitely the case, but I don't get where I have abused the system. I simply switched as I qualified on long residence route as well.

[makky86]

Sorry and thanks for your reply. I believe I simply posted my query on a created thread which must have created the mislead. Yes no refusal received in my case yet, but why is this considered a system abuse. I have a really good solicitor, somehow known even I would say, he had helped me through all of these years, so I trust he know the law pretty good. As per him my application is much stronger under the long residence route, and gas nothing to do with a system abuse!!! The fact that the 10 yrs route will of course carry the same checks is definitely the case, but I don't get where I have abused the system. I simply switched as I qualified on long residence route as well.

When you showed more to HO and less to HMRC thati's the abuse. It might not be deliberate but unforunately this has lead to long delay for all the people who have applied ILR from tier 1 with tax amendmend.

If you didn't really abuse then you'll have to prove it. Its good you have hired good lawer , so best of luck.

[sanshah]

In my personal opinion, I think you have a good strong case, coz ur tier 1 g is not been decided yet so it means u r covered under section 3c, atleast they can not refuse ur ILR under any of 276. Even though if they refuse ur ILR LR u will get a right of appeal and with good solicitor and barristers it can be fight in court. I would also suggest u to claim ur ILR tier 1 g fees as u vary ur application to LR. good luck..

[Katarin]

Thanks Makky86. I will do all to prove there was no abuse, also to reconfirm, I know many ppl did make tax amendments, but I did not. I have no tax amendment.

[Katarin]

Thank you so much Sanshah. Please plz could you enlighten me what does the section 3c mean, what does it refer to? I have seen this a lot in the posts, but do not know what it is. Is it to do with overstaying? Also you mentioned that even if they refuse my ILR LR 277 will not apply to my case, could you please also advise what the paragraph 277 is? Sorry for wasting your time, and thanks ever so much!!

[Katarin]

Sorry Sanshah, I meant what is 276, you said they cannot refuse me at least under any of paragraph 276? Many thanks

[vinny]

276B(ii)?