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HMRC double counting SEISS grants!

Tax calculations issued changing the 2020/21 figures and adding grants in again

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Anyone else had this?

 

I have had 5 this week where 2021 Tax Returns for self employed clients were submitted correctly separating the SEISS grants on the Tax Return but HMRC have issued amended tax calculations which group together the original profit and SEISS grant and then add in the SEISS grant for a second time.....

 

I am guessing HMRC system issue or perhaps an issue on Taxcalc software but not sure.....

Replies (9)

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By rmillaree
19th Aug 2021 10:20

Strewth - this is getting ridiculous if hmrc are getting right grants wrong due to duplication.
One thing can i politely ask - you did enter the SEISS grants in the correct box on the return?
I.e specifically 27.1 short or 70.1 full sole trader pages

I am aware that hmrc are meant to be checking and meant to be adjusting for any returns where grants have been inadvertantly put in the "other income box". However i know for a fact they are not doing this double checking on all returns (if any?)

If you have used other income (or anywhere else other than specified boxes) and not SEISS grants received specific box i would recommend revising return to correct this issue even if strictly speaking its hmrc that have failed on their promise in this regard.

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Replying to rmillaree:
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By paulhelliker
19th Aug 2021 12:53

rmillaree wrote:

Strewth - this is getting ridiculous if hmrc are getting right grants wrong due to duplication.
One thing can i politely ask - you did enter the SEISS grants in the correct box on the return?
I.e specifically 27.1 short or 70.1 full sole trader pages

I am aware that hmrc are meant to be checking and meant to be adjusting for any returns where grants have been inadvertantly put in the "other income box". However i know for a fact they are not doing this double checking on all returns (if any?)

If you have used other income (or anywhere else other than specified boxes) and not SEISS grants received specific box i would recommend revising return to correct this issue even if strictly speaking its hmrc that have failed on their promise in this regard.

Yes correctly included on all 5 in box 27.1! On their calculation they then added it into the profits and then brought in the same SEISS figure again in box 27.1

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By fawltybasil2575
19th Aug 2021 10:34

This link may assist, albeit the HMRC systems have been found by many to be, shall we say, rather fallible:-

https://www.gov.uk/guidance/check-if-you-need-to-change-your-self-assess...

Basil.

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By Laurence52
19th Aug 2021 12:33

SEISS grants should be excluded from turnover or other income in the profit & loss account on the tax return and should only be included in the boxes as stated by millaree.

Where a balance sheet is included on the tax return, if the SEISS has gone into the business account, then, in order to get the balance sheet to balance, include the SESS grant as capital introduced.
HMRC show this treatment on their list of special cases as number 42 near the end of this:
https://kb.taxcalc.com/kb_upload/file/2020-2021%20Spec-Indiv%20v1_0.pdf
HMRC say they intend to fix this for the 2021/22 return,

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By GHarr497688
19th Aug 2021 13:59

I note the help sheet for the Grants put out by HMRC is dates August 2021. Bearing in mind nearly all my tax returns are filed in May/June then surely HMRC need to be informed of the confusion. Once again in my 40 years I have never seen such poor service from HMRC. Letters unanswered , instruction confusing , phone call times taking ages , tax refunds not given out in time etc. Should HMRC not be run like a business rather than a totally disorganised mess confusing everyone including their own staff. I would like to talk to the decision makes who hide away I would suspect working from home lol!

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By paulhelliker
24th Aug 2021 13:49

Crikey another 6 incorrect ones today all double counting the SEISS grant.....

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By [email protected]
21st Sep 2021 15:23

I had it last week and was on the phone to HMRC for an hour and a half trying to sort it out. They have confirmed it's a glitch at their end after an update in their systems. They said they cant change them over the phone and that I have to write in with a copy of the tax return...That's ok but we still have 100 left to do! In boxes 70 73 and 76 apparently the figures are duplicating their end but it wasnt at ours. We use SAGE by the way...

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By [email protected]
21st Sep 2021 15:23

I had it last week and was on the phone to HMRC for an hour and a half trying to sort it out. They have confirmed it's a glitch at their end after an update in their systems. They said they cant change them over the phone and that I have to write in with a copy of the tax return...That's ok but we still have 100 left to do! In boxes 70 73 and 76 apparently the figures are duplicating their end but it wasnt at ours. We use SAGE by the way...

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Replying to [email protected]:
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By paulhelliker
21st Sep 2021 15:43

su-AT-1forall wrote:

I had it last week and was on the phone to HMRC for an hour and a half trying to sort it out. They have confirmed it's a glitch at their end after an update in their systems. They said they cant change them over the phone and that I have to write in with a copy of the tax return...That's ok but we still have 100 left to do! In boxes 70 73 and 76 apparently the figures are duplicating their end but it wasnt at ours. We use SAGE by the way...

Thank God its not just me then.....

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