Are HMRC Bullsh*tting Me?
Client has p/t employement income (at a school) and p/t self-employed income from her home-based business. All personal allowances are utilised against PAYE income. Tax return was submitted online in September 2012.
Amounts "currently" owed are:
31 Jan 2013: £980 (balancing payment for 2011/12)
31 Jan 2013: £1,200 (1st payment on account 2012/13)
31 July 2013: £1,200 (2nd payment on account 2012/13)
Box 2 of "Finishing Your Tax Return" on her SA100 return states "if you owe tax for 2011-12 and have a PAYE tax code, we will try to collect the tax due (if less than £3,000) through your tax code for 2013-14, unless you put 'x' in the box"
The helpsheet TRG 22 adds:
"If you owe tax of less than £3,000, and you have filed your return by 30 December, we will try and collect it through your 2013–14 PAYE tax code, if you have one."
The Revenue, most lately in the form of the (alleged) Business Payment Support Service, refuse to collect 2011-12's £980 through PAYE on the grounds that the total amount owed is £3,580 ie more than £3,000. I say the amount due is only £2,180 because the second instalment (of July 2013) is not yet due. My tax software (FTax) supports my view, having churned out a SA100 Payments Summary containing a £980 deduction from the January 2013 payment entitled "Adjustment due to change in 2013-14 tax code".
Does anyone please have any links that might support our case that the amount owed is less than £3,000 (so that 2011-12's £980 balancing payment can be collected via 2013-14 PAYE code)?
- Lack of Quickbooks Online Coverage 246 4
- Failure to operate PAYE 1,028 26
- How does the tax payer dis-apply/disclaim from use of their personal allowance? 519 13
- Client with enquiry inro careless or negligent tax return 859 23
- Classic cars investment 351 10
- NI Contributions in order to claim state pension 179 3
- break even point 683 20
- Asset holding company 269 6
- How much to charge? 459 7
- National Insurance Contributions 121 1
- VAT GUIDE - 22-25 AGENTS OR EQUIVALENT 319 6
- Growing Limited Company concerned about assets if something goes wrong 281 1
- I think I'm developing an anger issue 3,025 36
- HMRC Getting Extra Tough? 805 8
- IR 35 deemed payment calc 235 5
- Gift or Capital Gain? 452 13
- SA302s - Lenders to accept non hmrc copies 665 9
- HMRC - Sage Backup 265 5
- Abandoning accountancy membership in order to operate as a sole trader 1,189 29
- BrightPay 752 23
- Possible Partnership? 480
- Tax and accounting treatment on long lease granted from freehold 452
- Lunatics in charge of the asylum - Bluestone 447
- New Fangled Penalties 259
- Purchase of property freehold - capitalisation of costs 245
- Clubs and Taxable Income 234
- Subsistence and hotel expenses 231
- Deferring taxable income until after 5 April 221
- Loans to other companies 179
- Tasbook email configuration 167