HMRC repayment guidelines

HMRC repayment guidelines

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How about this for HMRC bureaucracy? AKA how to ensure the balance of payments surplus is maximised.

I submitted my personal SA return last summer, with a request that my liability be collected via my tax code in the current year. This was actioned.

On February 2 they also collected the balance by direct debit. I called HMRC and was advised that it would take 3-4 days to show the overpayment in my online account, and once it was showing I could request a repayment.

Once the credit balance showed online, I used the online services to request a repayment. Nothing happened.

Two weeks ago I called, only for the recorded message on the IVR to advise that the current processing time for refunds was five weeks, and that they wouldn't talk to me until five weeks was up.

Today I called again, to be told that:

1. HMRC allow 30 days for direct debits to clear, and so won't consider any repayment requests within that time. This being despite that fact the DD system ensures that funds are cleared within 3 days from receipt. The Direct Debit guarantee states that where a DD is collected in error the organisation collecting the DD is required to make an immediate refund to the customer. HMRC ignores this guarantee completely.

2. Because my online request for repayment was made within said 30 day clearance period, it was being ignored completely and had not been actioned.

3. The five week processing time on the recorded message was a lie.

4. The repayment has been processed today, but will still take a further three weeks to be refunded back into my account.

Replies (2)

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By petersaxton
11th Mar 2015 14:13

Welcome to HMRC

As soon as HMRC start doing one thing well you will find they are messing up another five things.

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By mattgriffiths
11th Mar 2015 14:34

Report it to your bank

Tell them the DD was paid in error and they'll recall the money. Tell 'em you didn't receive the correct notice that is supposed to be given:

If an error is made in the payment of your Direct Debit, by the organisation or your bank or building society, you are entitled to a full and immediate refund of the amount paid from your bank or building societyIf you receive a refund you are not entitled to, you must pay it back when the organisation asks you to

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