Hi,
One of our Limited Company clients is owed about £4k of PAYE back from HMRC for the 14-15 tax year.
He does not have any PAYE owed to HMRC to offset this against as he does not have any employees on his books right now and doesn't expect to for a while.
We are being told by HMRC he will not receive this refund until Feb 2016.
Any tips / ideas on how we can accelerate this repayment?
thanks
RM
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Replies (11)
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Really?
Please clarify:
Is the £4,000 refund due to CIS tax suffered by the company as a sub-contractor, as it is not obvious how such a large PAYE overpayment would have arisen?Were the final RTI returns for 2014/15 submitted correctly by the deadline of 19th April 2015 and not subsequently amended?Did you write to HMRC, Longbenton, in April to explain the reason for the overpayment and to ask for it to be repaid to the client as the company has no ongoing PAYE liabilities?
My experience is that if all the above apply, the refunds have long since been paid.
On the other hand, if you have only just requested the refund 5 months after the tax year-end, there is some logic in HMRC taking another 5 months to process it! However, I understand that the HMRC operatives are being instructed to quote a specified date a long way in the future to any enquirers, but in practice, if you have made telephone contact, the refund will probably be processed in the near future - subject, of course, to the usual security checks.
Don't blame the monkeys
It is the organ grinder mandarins in HMRC who tell the monkeys what to say.
Visits
It is the organ grinder mandarins in HMRC who tell the monkeys what to say.
Have to say, last time I visited HMRC, about 18 months ago, I was struck by their demotivation.
re
thanks all
Euan - it is not due to CIS, RTI's were all filed on time and we did write to them about 3 months ago (ish)
Unlucky
Euan - it is not due to CIS, RTI's were all filed on time and we did write to them about 3 months ago (ish)
Most of my prompt refunds were due to CIS tax suffered, on which HMRC have been concentrating their efforts in order to fulfil their promise to turn them round within 25 (I think) days, so the straight PAYE overpayments went to the back of the queue. If you wrote in June, you also hit the Tax Credit renewals season when a lot of the staff who dealt with PAYE refunds were switched onto tax credit work.
As I said before, speaking to them on the 'phone is probably the best way to flush out a refund because having looked at the details while speaking to you, they might as well take the few extra seconds to authorise the repayment on their system.
In these days of RTI why do employers need to request refunds? HMRC are as well aware when there has been an overpayment as the employer is. It's not as if only some employers will want their refunds, while others will want to donate them to HMRC, and HMRC have to wait for those who want them to identify themselves.
HMRC are a shambles
I have a client who finds themselves in the same position (a 2014-15 overpayment). I originally called in early May to explain the situation and was told that the re-payment would be made by the end of July. Since the repayment has failed to materialise I called again & am now being told they must wait until the end of February '16 at the earliest. I was also told this could be looked at quicker by writing in to tell of any hardship suffered by the withholding of (their own) money.
How long should it take to do a payment run at HMRC?