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Cancelling an SA Return

Cancelling an SA Return

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I would be grateful for any guidance etc. on the best way to seek of HMRC to "cancel" a recently issued 2015/16 SA Return.

A relative had a serious accident just before the end of 2014/15, and spent 48 weeks in Intensive Care/Rehab/Specialist Brain Injury unit, and his wife now has Court of  Protection authority* due to his reduced cognition. The relevant 2014/15 Short Return was submitted on time including details of the date of cessation of his P/t self employed income, at 5/4/2015. HMRC have now issued a 2015/16 SA Return. He has no other taxable income beyond the State pension, a works pension & small amounts of savings income - all taxed at source , or included in the coding notice.

Whilst the new Return will not be difficult to produce I would hope that it can be "cancelled"  so we can draw a line now and for the future on this added responsibility.

It would  be greatly appreciated if anyone was able to provide the relevant guidance (HMRC manuals or legislation etc.) that I could refer to when contacting HMRC.

* details sent to HMRC

Replies (17)

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By petersaxton
12th Apr 2016 21:52

prepare and submit

then HMRC will know the situation and most likley decide to not issue a request next year

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By cohen
12th Apr 2016 21:54

Hi

In my experience, you can call the agent line and ask them to withdraw the return.

They'll run through a few questions to make sure that you don't need a return, and it then takes a few weeks for them to cancel it.

The HMRC manuals mention withdrawl here : http://www.hmrc.gov.uk/MANUALS/sammanual/SAM120115.htm#IDAXIT0F

One thing to note is that HMRC don't always write to confirm cancellation, but you can check the status online.

Thanks (6)
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By Anne Robinson
12th Apr 2016 23:55

Once issued
They are very fond of insisting that once a notice to file is issued it is not possible to cancel. Apparently the decision to issue a notice to file is made before 31 Jan so even if cessation details are on the previous return it can be too late. (according to an HMRC officer on agents line)
However if you get the right person it can be done but to be honest it is probably easier to submit now to give them time to shut the file flown before next return due.

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Replying to sanjay100:
By Paul D Utherone
14th Apr 2016 08:59

And yet

Anne Robinson wrote:
They are very fond of insisting that once a notice to file is issued it is not possible to cancel. Apparently the decision to issue a notice to file is made before 31 Jan so even if cessation details are on the previous return it can be too late. (according to an HMRC officer on agents line) However if you get the right person it can be done but to be honest it is probably easier to submit now to give them time to shut the file flown before next return due.
I telephoned a year back to ask for a client to be taken out of SA, after submitting what should have been a final return for a client who had retired and had a net liability/refund of <£5, and was told that they could not mark the record as such until a return had been issued. I presumed this to be on the basis that we now had s8B TMA and they would agree to the withdrawal and remove from SA all at the same time. Left hand meet right hand.

If writing, or drafting a letter for the taxpayer to send, the request is to withdraw the return under s8B TMA 1970 on the grounds that the taxpayer no longer meets any of HMRC criteria for SA

 

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By petersaxton
13th Apr 2016 07:24

My experience

I've phoned HMRC to get a clients tax return cancelled. They went through the list of things that would require them to send a return. Then they sent a letter to my client saying they would cancel the return unless the client confirmed one of the items on the list was relevant. I've found it easier to just submit the return and let HMRC decide not to request another one.

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By Cloudcounter
13th Apr 2016 07:49

Never had a problem

I've phoned the agent line twice, once for a 14-15 return and the other for 15-16.  Answered quickly and both dealt with very easily.  Have the facts to hand such as the date of cessation and be ready to confirm that there are no reasons to complete a return. 

To me it's much easier than submitting a return, and even if you do submit it's not unknown for HMRC to miss the fact that the client should be taken out of self assessment, so you have to phone anyway

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By bajones
13th Apr 2016 08:37

Easy

I just got four years of returns (and penalties) instantly cancelled without any hassle, just a 2 minute phone call.  They're getting better at doing it without argument, you just have to confirm that the several generic criteria for a TR are not met.

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By SteveHa
13th Apr 2016 09:22

If the OP is not the registered agent (which it doesn't sound like he is) then he can't call the agents line, and I wouldn't expect the generic SA helpline to have the first clue.

Better to just submit.

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By Duhamel
13th Apr 2016 09:28

I'd just do a letter
with the P60 for the private pension.

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By RetiredTax
13th Apr 2016 21:27

SA Return
Many thanks to all who responded particularly Cohen for the reference - I had looked at HMRC guides but under "cancelling" not "withdrawing"! As has been mentioned whilst I assisted with the Return I am not his "authorised" Agent
Thanks again.

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By vince8
25th Apr 2016 13:15

SA832

Iv'e just got a withdrawing a notice to file agreed and HMRC send an SA832. In my case the formal notice is dated 21/4/16 but includes a paragraph saying that if wrong or incomplete information has been given a penalty could be charged if HMRC are not told by 28/5/16.

It also includes a paragraph " you must always send a tax return if you're a self employed trader, a partner in a business partnership or a company director"

 

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Replying to Tax Dragon:
RLI
By lionofludesch
25th Apr 2016 13:43

Dividend tax

vince8 wrote:

It also includes a paragraph " you must always send a tax return if you're a self employed trader, a partner in a business partnership or a company director"

I'm thinking that this is increasingly likely to be true from 6th April 2016.

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By RetiredTax
25th Apr 2016 21:03

SA return cancellation
Many thanks to all who contributed

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By petestar1969
26th Apr 2016 10:55

Well

I always call the agent line and say the client does not need to file a return. Sometimes they go through questions, sometimes they just take my word for it.

I had one instance recently. A client had been employed by and was a shareholder in her husband's company which ceased to trade in February 2015. Since then she has earned nothing.

I told the guy at HMRC this was the case and he just cancelled the 15/16 return.

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By mikegabb
26th Apr 2016 11:23

Tick the PAYE boxes

If you are going the final return route you do need to tick the boxes to say Yes to collecting outstanding tax through PAYE. Otherwise they 'won't even look at it'. This generally works if it is a case of giving a cessation date for self employment. But if not, just hoping someone will read the white box is a bit of a long shot. I ring them up whenever necessary - no problems.

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By bazzamail
28th Apr 2016 15:15

Cancellation of SA Return

Originally, if a Return was issued it had to be completed.  However, the law was changed by FA2013 Sch 51 Paras 3 and 9.  Now it is possible for HMRC to withdraw a notice to complete a Return.  

I still have the occasional Inspector insisting that it cannot be withdrawn until I point them in the direction of the legislation.

 

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Replying to michaelbeaver:
By Paul D Utherone
28th Apr 2016 15:41

ie s8B TMA :)

bazzamail wrote:

Originally, if a Return was issued it had to be completed.  However, the law was changed by FA2013 Sch 51 Paras 3 and 9.  Now it is possible for HMRC to withdraw a notice to complete a Return.  

I still have the occasional Inspector insisting that it cannot be withdrawn until I point them in the direction of the legislation.

Unfortunately whilst that allows for the possibility of withdrawal, if the taxpayer meets one of HMRC's criteria the computer still says 'no' in 99.9% of cases

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