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)?
- Bench-marking software, any ideas? 18 1
- Not renewing AAT 619 8
- Self-assessment statistics 2,413 56
- Accountant won't release working papers 2,721 51
- New dividend taxation 336 2
- Co purchase printed materials from EU - VAT 111 1
- Company car v company allowance 217 1
- Furnished Lettings - expenses normally bourne by tenant 423 9
- Company formation and bank account 366 9
- Next Move 644 18
- Owning overseas property 304 2
- MLR and benefitting from the disclosure 281 1
- Company Car for Owner Director number crunching - is there a ready reckoner? 223 3
- How did you recalculate your payroll fees 689 8
- Client tied in to accountant. Unfair contract? 641 9
- Importing Sage Data and Year End 242 2
- Legal structure of a group of friends producing a free newspaper 417 8
- OneNote is fantastic 578 11
- VAT Direct Debit 391 7
- S445 tax V's new dividend tax 474 8
- Self employed and HMRC Worldwide Subsistence Rates 664
- Acrobat Checkbox Help for New 64-8 405
- Property letting & CAs 396
- Interest paid - do new rules affect Tax Credits? 391
- 2015 tax year end 389
- FCA regulated company in a small group 344
- Self employed consultant working in Ireland 311
- Market Invoice (P2P invoice discounting) tax treatment 238
- DTA tie-breaker issue 209
- Tax on internet ad sharing income 204