Client has a student loan. Repaid in August 2014.
Dividend income is such that it takes client over threshold for repayment.
Do I:
A. Calculate and have the SLCs paid and then reclaimed
B. White space disclosure?
I want B.
Replies (3)
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Hi
Here's a link to a thread where this was discussed a while ago. I don't know if anything's changed though.
https://www.accountingweb.co.uk/anyanswers/question/how-reduce-student-loan-payments-taxfiler
I think your B option will be achieved by asking for the amount to be stood over as I did (the student loan deduction is not payable and not chased by HMRC) but there are other options detailed by others in the thread.
Also Basil made the point of obtaining a statement from the Student Loans Company to prove the loan has been repaid in full.
Hi,
I have had this problem with a client recently where HMRC are not taking the actual student loan remaining balance into account and just coming up with an automatic calculation charging 9% of all income over the threshold. After wasting considerable time to no avail on the phone to HMRC, I sent letter to HMRC SA with a copy of the student loan statement and also the tax calculation, asking them to rectify this. I would advise that you do the same as they are very unlikely to be able to assist you with this over the phone.