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HMRC Appeals advice

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    HMRC Appeals advice

    I am hoping one of the regular accountants on the board or anyone else with experience can proffer some advice regarding my situation.

    In January and before the deadline, my accountant prepared and submitted my 08/09 Self Assessment accounts. Based on his figures which I reviewed, I paid my tax liability for the year as well as the relevant amount on account for the 09/10 tax year.

    On Monday, I called my HMRC office regarding another matter and at the end of the call the lady mentioned she wished to discuss my Self Assessment with me to which I said sure, no problem.

    She advised me that, according to HMRC calculations, I had not paid enough tax to cover my 08/09 tax liability let alone the amount on account for 09/10.
    I advised her I was very surprised by this but would investigate once I received my statement from them which, at that point, I still hadn't received.

    She advised me it had already been sent out to me but gave no indication of when and I got the impression it was within the last week. She suggested I should receive it within the next few days and that I would have until the 15 March to review and either pay the outstanding amount or appeal. Working on the assumption I would receive the statement by mid-week, this didn't sound un-reasonable as my accounts for that year were very simple so any discrepancy between my accountants and HMRC's figures would be easy to trace.

    Fast forward to today and I still have not received the statement from HMRC so I called them back to request they send out another copy and to also ask they extend the appeal deadline by a couple of weeks. The lady I spoke to was extremely un-helpful and reluctantly agreed to send out another copy of the statement but refused to extend the appeal deadline as the original statement had been sent out on the 21 February. I advised her this was the first time I had been advised of the actual date the statement had been sent out which further concerned me as it was now looking likely it had gone missing in the post.

    As such, I was un-able to investigate the discrepancy adequately without the statement and that a request for an extension for appeal by a few weeks was not un-reasonable given the circumstance. She pointedly refused and also refused to put me through to a manger as they were all in meetings.

    I am now in a situation where I cannot investigate the discrepancy or appeal without the statement and wondered how best I can proceed further with this.

    I was thinking of writing and sending a letter to HMRC now detailing all of this as well as requesting another appeal extension. In this way, at least my concerns/issues will be recorded in writing as well.

    Another side concern is by making a small issue of this, whether it will potentially highlight my tax affairs for further investigation.

    Any appropriate advice appreciated.

    BTW, if you are going to reply that my accountant is crap or have a similar pop, please don't bother as I am fully aware of this and was, ironically, due to change him this year anyway once I received my SA statement. Please only reply if you have any advice/guidance on this particular scenario and not on how my accountant or I could let this happen!

    #2
    I would suggest calling them back and asking them to go through the statement over the phone so that you can pinpoint the error. It may be simply that they have misallocated a payment - when they see one year overpaid by £1,000 and another year underpaid by £1,000 they don't think to check them, and they still chase the underpayment.

    A letter to HMRC setting out the events so far will do no harm at all, keep a copy yourself and proof of posting the original.
    ContractorUK Best Forum Adviser 2013

    Comment


      #3
      Originally posted by *Clare* View Post
      I would suggest calling them back and asking them to go through the statement over the phone so that you can pinpoint the error. It may be simply that they have misallocated a payment - when they see one year overpaid by £1,000 and another year underpaid by £1,000 they don't think to check them, and they still chase the underpayment.

      A letter to HMRC setting out the events so far will do no harm at all, keep a copy yourself and proof of posting the original.
      From the conversation I had on Monday, it sounds like it is an issue of tax calculation and not mis-allocation.

      i.e. HMRC have reviewed the figures submitted by my accountant and think I owe more tax than was paid.

      Would they have sent a copy of the statement to my accountant as well?

      Also, would they be willing to discuss directly with my accountant?

      Comment


        #4
        Your accountant should have received a copy of the calculation, and he should be able to talk to HMRC on your behalf as long as you've given him authority (signed a 64-8 form) which is likely.

        To be honest it would be normal for your accountant to deal with this type of thing from the start. Has he even got involved yet?
        ContractorUK Best Forum Adviser 2013

        Comment


          #5
          Can you not go online to check it?
          Blood in your poo

          Comment


            #6
            I would certainly send them a letter, recorded post, to explain your situation and to confirm the extension of the deadline. That way they cannot avoid the points you put forward.

            Is it a large amount? I ask because sometimes it's best just to pay up soon as possible (assuming they are right) and to be as helpful as possible in the meantime. I know it's hard because they are as unhelpful as can be, but if you show willingness it'll come across better.

            Can they email the statement to you?

            Comment


              #7
              Originally posted by ChimpMaster View Post
              I would certainly send them a letter, recorded post, to explain your situation and to confirm the extension of the deadline. That way they cannot avoid the points you put forward.

              Is it a large amount? I ask because sometimes it's best just to pay up soon as possible (assuming they are right) and to be as helpful as possible in the meantime. I know it's hard because they are as unhelpful as can be, but if you show willingness it'll come across better.

              Can they email the statement to you?
              TBH, this was my original plan as it is a modest amount of about £800 but I am pissed off at my accountant as I suspect once he did my calculation an office junior submitted it (in-correctly) online.

              Am even more pissed off after speaking to the extremely obtuse woman at HMRC this morning.

              Comment


                #8
                They won't email, but they might agree to fax if you happen to get through to someone helpful.

                If you did simply pay it and argue about it later, bear in mind that repayments can take a long time to come through. Although if they repay interest too it might well be more than your bank would have paid you on the same amount!
                ContractorUK Best Forum Adviser 2013

                Comment


                  #9
                  Any correspondence you receive should be going to your accountant as well (assuming a 64-8 is in place as has been mentioned above - this is typically one of the first things an accountant will do when they take you on, otherwise HMRC won't talk to them).

                  They should also be able to look online to see what HMRC show as the tax due for the year, and in turn it will show where your payments have been allocated.

                  It's possible that the accountant put something in the wrong box/similar and HMRC are correct, but it's also quite possible HMRC have cocked something up. If I were you I'd ask the accountant to look into it. They should fairly quickly be able to find the difference, and then decide whether it's correct or not (though expect some ass covering excuses to come out if the accountant was wrong!)

                  As an aside, I'd also double check HMRC have the correct address for you. Especially if you've got several taxes to deal with (eg VAT, PAYE, CT etc) you may well find if you move and you inform them it doesn't get through to all departments, so statements can go to old addresses.

                  Comment


                    #10
                    Originally posted by Maslins View Post
                    Any correspondence you receive should be going to your accountant as well (assuming a 64-8 is in place as has been mentioned above - this is typically one of the first things an accountant will do when they take you on, otherwise HMRC won't talk to them).

                    They should also be able to look online to see what HMRC show as the tax due for the year, and in turn it will show where your payments have been allocated.

                    It's possible that the accountant put something in the wrong box/similar and HMRC are correct, but it's also quite possible HMRC have cocked something up. If I were you I'd ask the accountant to look into it. They should fairly quickly be able to find the difference, and then decide whether it's correct or not (though expect some ass covering excuses to come out if the accountant was wrong!)

                    As an aside, I'd also double check HMRC have the correct address for you. Especially if you've got several taxes to deal with (eg VAT, PAYE, CT etc) you may well find if you move and you inform them it doesn't get through to all departments, so statements can go to old addresses.
                    Unfortunately, my accountant is an a*rse!

                    I called and spoke to the secretary/office junior who checked my file and advised that they have not received a copy of my statement from HMRC.

                    Thanks for the tip about my accountant being able to view what HMRC claim is the tax due online - I may ask him to look at this on Monday.

                    By going on line, are my accountants able to obtain a copy of the tax returns they submitted? Reason for asking is my potential new accountant requires a copy of the previous years return when you join them.

                    Before I forget, I really appreciate everyone replying - If anything, it helped calm me down after talking to the stupid woman at HMRC this morning.

                    Comment

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