Has anyone received a letter about Over or Underpayment.....

[Phoenix]

Re: Has anyone received a letter about Over or Underpayment.

Hi,

Thought that this issue had died a natural death!

However, I have this morning received a letter from Mr. Tax Man telling me that I under-paid my tax by well over £400 last year! This was when I was working!

I know I have read something somewhere about being able to dispute this and was wondering whether someone could point me in the right direction, please?

I probably do owe it - but I am sure I saw something about it being the Tax Office's mistake and they should write it off?

Can but hope ....

[jen_br]

Re: Has anyone received a letter about Over or Underpayment.

Well Ann Ive asked for a reassessment I don't see if your on PAYE and your employer is doing the calcuations that you should owe!

[Phoenix]

Re: Has anyone received a letter about Over or Underpayment.

Well Ann Ive asked for a reassessment I don't see if your on PAYE and your employer is doing the calcuations that you should owe!

Thanks Jen,

Will ask for this! Am currently investigating it online - and have noticed that is is for 2008/9. I seem to remember reading somewhere that they can only back a year - but I didn't keep what I read because I reckoned I would have heard by now!

Nothing to lose by trying to fight it, though!

[Phoenix]

Re: Has anyone received a letter about Over or Underpayment.

Have just Googled tax underpayment and found on the Guardian site that HMRC should not be asking for tax more than 12 months from the tax year in which it was due. When the letter arrived this morning I did not check the date - just assumed it was for last year (2009-10)! However, have now noticed that it was for 2008-9! So, am going to send the template which the Guardian helpfully supplied - worth a try! Am now wondering what they will find about 2009-10 - I retired at the end of March 2010 - but do not remember my tax increasing for April 2009, which it surely should have done? Unless there is a similar bill for 2009-10 on its way!

Anyway, if the letter does not work am going to ask for extra time to pay, as I am now officially a pensioner! And, as I have discovered over the last few months, just sending letters does give me a feeling of fighting back. Not sure I should fight the taxman too hard, though!

Just watch this space!

[Elsie52]

Re: Has anyone received a letter about Over or Underpayment.

Just read your post Ann....give them a fight. 2008/2009 is well over the 12 months.....will watch and see what happens.

[oscar]

Re: Has anyone received a letter about Over or Underpayment.

I know a few people that have recieved refunds now - one of them getting £1K!! - I am still waiting (and hoping) for my cheque.

[MrsD]

Re: Has anyone received a letter about Over or Underpayment.

Guys I had loads of trouble last year, receiving 19 new taxcodes in the space of 6 weeks. I phoned and phoned and phoned and got no where fast other than a load of sympathy from tax peeps but no actual action.

I eventually got a manager during one marathon phone call and she advised that the easiest way to fix it was to register online, fill in the figures and the computer sends your refund automatically, and i did, and it did and I got over £4000 back.
You can play around with the figures till you get answers.

there is a lot of faff at the beginning but it definitely makes it more your responsibility and takes away the problem of overworked tax staff all looking at it and thinking its too hard and dumping it at the bottom of the pile, worth a go

[5corpio]

Re: Has anyone received a letter about Over or Underpayment.

On BBC 1 Tonight 8th November 2010 @ 20.30 Hrs
HMRC Tax Blunder revealed Letters.....
With millions of people waiting to see if they are winners or losers in the fallout from the recent tax code realignment, Panorama reveals the situation inside HM Revenue and Customs....http://www.bbc.co.uk/programmes/b00vdmbr

[5corpio]

Re: Has anyone received a letter about Over or Underpayment.

Jen, Looloo, Phoenix
Latest headlines last week from the HMRC, is that they are wiping the old taxes that are outstanding of £500million (hope you are one of them guys).

HM Revenue & Customs today confirmed it will have to write off the debts of nearly two million taxpayers who underpaid income tax after HMRC incorrectly calculated their tax code....http://citywire.co.uk/money/hmrc-to-wri ... rs/a448995
HM Revenue & Customs will write off 1.9m unpaid income tax demands totalling £500m because it is too difficult to claw back the cash
Read more: http://www.thisismoney.co.uk/tax/articl ... z15RE20L00
http://www.thisismoney.co.uk/tax/articl ... page_id=11

[Phoenix]

Re: Has anyone received a letter about Over or Underpayment.

Hi Folks,

Have just heard from HMRC. Apparently I can't claim that ESC A19 exemption thing. They didn't explain why - just sent me to the website, which was totally incomprehensible!

Am going to look at the link and decide whether to keep on with the fight or just ask for longer to pay - it's going to cost nearly £40 per month, which is quite a bit when you are on a pension!

Still think it is their mistake ....

[Phoenix]

Re: Has anyone received a letter about Over or Underpayment.

Have just read 5corpio's link - it refers to the tax year 2006/7!!! Apparently they can claim underpaid tax for four years before it is written off!

Still wondering why I underpaid for 2008-09 and yet, to the best of my knowledge, my tax for 2009-10 (I stopped work at the end of March 2010) did not change. I have a horrible feeling that this may well mean that I am going to get the same letter next year! Grrrr!

I guess I will just have to see if they will accept a lower payment, but, by doing that, I am admitting my liability. No point in appealing to their better nature - they don't have one A bit like dealing with the DCAs, really!

[5corpio]

Re: Has anyone received a letter about Over or Underpayment.

Hi Phoenix

Hopes any of this may help you:

The circumstances are that HMRC should have used the information provided within 12 months after the end of the tax year in which it is received to notify the taxpayer of any arrears.
Obvisouly they didn't contact you within 12 months after the tax year ref: 2006/07, if you had contacted them and you got proof in writing? i assume this indicates about HMRC

ESC A19[attachment=1:in0j1zav]esc19.jpg[/attachment:in0j1zav] Link: http://www.hmrc.gov.uk/esc/esc.htm

ESC - Extra Statuary Concessions PDF: http://www.hmrc.gov.uk/specialist/esc.pdf
[attachment=0:in0j1zav]a19.jpg[/attachment:in0j1zav]

Found this as well Phoenix
http://www.taxadvicenetwork.co.uk/conte ... D=668&ma=1
ESC A19 We know about this loophole - Or Do we?

ESC A19 Explanation: Where that deadline is not met by HMRC, taxpayers can request an Extra Statutory Concession or ESC A19.

[size=5]This could mean that HMRC may have to waive the outstanding sum.
Skinny dipping on here, reading this:
http://www.paretolawrence.co.uk/tag/ext ... r-esc-a19/

The current crop of errors dates back to April 2008. So taxpayers who had supplied accurate information to HMRC on changes in their circumstances that would have affected their tax codes, and provided the details before the start of the tax year in April 2009, could be in a position to use an ESC A19.

gives more of a break down about it http://esca19.co.uk/page1.html

Sorry can no be of any further help at the moment Phoenix

[Phoenix]

Re: Has anyone received a letter about Over or Underpayment.

Thanks 5corpio.

Have sent a letter contending that I should have been told by end of March 2010.

Now just waiting to see what their next argument is1

Problem is, they deduct the tax at source so there is no way I can refuse to pay! Not that I dare ....

[5corpio]

Re: Has anyone received a letter about Over or Underpayment.

Thanks 5corpio.

Have sent a letter contending that I should have been told by end of March 2010.
Now just waiting to see what their next argument is1
Problem is, they deduct the tax at source so there is no way I can refuse to pay! Not that I dare ....

I do hope you get it sorted Phoenix, (my father being stung for 40% tax on his pension till Apr 2011, as he was made redundant, so retired due to on going ill health with his heart)

[Phoenix]

Re: Has anyone received a letter about Over or Underpayment.

Thanks again, 5corpio!

Actually, compared with your father, things don't look that bad for me! Worst case scenario, I pay up and shut up!

Trouble is, I have sort of got into the habit of sending out letters disputing any payment!