The dreaded P800-Underpayment of Tax
Discussion
Hi
Im hoping someone on here might have some experience of the HMRC underpayment notices being sent out. I have received one this morning dated 20/12/2011. It is relating to the tax year 2009/10 and I believe I pay not be liable to pay the underpayment of roughly £400 under ESC A19.
Has anyone on here challenged the underpayments? They are notifying me over a year after the period it relates to and all necessary steps were taken to give HMRC the correct information. I did move jobs during the year, but a P45 was provided to my a new employer.
Any advice would be great.
Cheers
Sam
Im hoping someone on here might have some experience of the HMRC underpayment notices being sent out. I have received one this morning dated 20/12/2011. It is relating to the tax year 2009/10 and I believe I pay not be liable to pay the underpayment of roughly £400 under ESC A19.
Has anyone on here challenged the underpayments? They are notifying me over a year after the period it relates to and all necessary steps were taken to give HMRC the correct information. I did move jobs during the year, but a P45 was provided to my a new employer.
Any advice would be great.
Cheers
Sam
The tax rules dictate that HMRC have to 31 January 2011 to raise enquiries or assessments for the year ended 5 April 2010 so I believe you have no escape under the ESC A19 route - you can ask for the underpayment to be coded out on your 2012/13 PAYE coding if you have one thus easing the pain somewhat.
Further details and comment are on the alternate thread as Eric says.
D
Further details and comment are on the alternate thread as Eric says.
D
sumo69 said:
The tax rules dictate that HMRC have to 31 January 2011 to raise enquiries or assessments for the year ended 5 April 2010 so I believe you have no escape under the ESC A19 route - you can ask for the underpayment to be coded out on your 2012/13 PAYE coding if you have one thus easing the pain somewhat.
Further details and comment are on the alternate thread as Eric says.
D
Has not the 31 January twelve month limit been abolished now?Further details and comment are on the alternate thread as Eric says.
D
Under the original self assessment rules, HMRC had 12 months from the filing deadline to open an enquiry into a return. Therefore, an enquiry into (say) the 2005/06 tax return could not be opened after 31 January 2008.
I was pretty sure that this self imposed restriction had been done away with.
I was pretty sure that this self imposed restriction had been done away with.
Just a quick update to this, a quick phone call to the revenue mentioning i would like to claim for the tax to be written off under ESC A19 was successful and a letter came through 3 days later confirming they had written off the amount.
If anyone wants a copy of the letter or any other advice, give me a shout,
Sam
If anyone wants a copy of the letter or any other advice, give me a shout,
Sam
ESC A19 in laymans terms states that if HMRC had all the correct information by the deadlines they set, P60's/P45 etc then they have a period of 1 year after the tax year end to request underpaid tax.
In my case it related to 09/10 so a year after this is April 2011. However I did not receive notice of this underpayment until January 2012 (letter dated 20/12/11).
On these ground I don't believe they had any other choice.
http://www.hmrc.gov.uk/esc/esc.htm
Cheers
Sam
In my case it related to 09/10 so a year after this is April 2011. However I did not receive notice of this underpayment until January 2012 (letter dated 20/12/11).
On these ground I don't believe they had any other choice.
http://www.hmrc.gov.uk/esc/esc.htm
Cheers
Sam
Without knowing the OP's exact issue, its impossible to say if the ESC A19 write-off is actually correct as this is all dependent on when the due date for them receiving the information was.
For example an underpayment caused by a P11d benefit greater than that included on the tax coding for 2010/11 is only seen by HMRC in July 2011 which is in the 2011/12 tax year and HMRC must use the info within a year from the end of the tax year that it was received so have until 5 April 2013 to assess any underpayment.
Alternatively if its an issue from an in year form such as a P45, then the deadline would be a year earlier at 5 April 2012.
Hope that clarifies matters.
David
For example an underpayment caused by a P11d benefit greater than that included on the tax coding for 2010/11 is only seen by HMRC in July 2011 which is in the 2011/12 tax year and HMRC must use the info within a year from the end of the tax year that it was received so have until 5 April 2013 to assess any underpayment.
Alternatively if its an issue from an in year form such as a P45, then the deadline would be a year earlier at 5 April 2012.
Hope that clarifies matters.
David
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