How Many Spotted This?

How Many Spotted This?

Didn't find your answer?

I wonder how many have spotted this little gem!

Nicely hidden away......

https://www.accountancylive.com/fb2016-hmrc-given-simple-assessment-powe...

After Previous Year Basis and the roll-out of the Current Year self assessment regime, we thought assessments were something in the mists of the past.

Yet no: seems HMRC now demand the power to raise assessments, purely and simply on the justification of the records and data they hold!

Nice idea: excepting, as we all know, oftimes their data is fallacious and plain wrong!

Roll on Digital Tax Accounts, APNs and bank raids and one can instantly see where this is going.

Replies (5)

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By nogammonsinanundoubledgame
30th Dec 2015 17:50

Haven't they been doing that anyway?

What is a P800T, if not an assessment raised by HMRC?

With kind regards

Clint Westwood

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By seawych
30th Dec 2015 22:50

Odd

P800s aren't assessments, they're tax calculations usually accompanied by an invitation to pay any shortfall voluntarily.  If you don't co-operate HMRC can use S29  to assess anyway.

I don't see why they need an additional assessing power. Odd.

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By nogammonsinanundoubledgame
30th Dec 2015 23:34

In my experience ...

... P800 showing an underpayment of tax normally results in a PAYE coding notice that then proceeds to collect said tax.

Semantics, perhaps, but a calculation resulting in collection of the calculated tax is in my view an assessment in all but (perhaps) name.

With kind regards

Clint Westwood

 

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RLI
By lionofludesch
31st Dec 2015 09:44

Agree with the above

Agree with Clint.  It's the same thing whatever its name.

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By Paul D Utherone
31st Dec 2015 13:05

Agree with all of the above

The note says that:

The measure is part of the government’s commitment to abolish the tax return.

and...will reduce the number of individuals with straightforward affairs having to send a tax return to HMRC

P800's are only a request as noted, and if ignored HMRC have to go through the whole rigmarole of issuing a return, which then also gets ignored until penalties hit and appeals against the penalties clog up the FTT with fairly pointless claims in 99% of cases against penalties that have got out of all proportion to tax due in most cases and are doomed to failure.

This measure might stop a lot of that. Then again I have seen more than one ridiculous case where a P800 has been issued looking at only one source and ignoring all that has gone before throwing up an apparent overpayment that is made automatically, but is patently not due.

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