But the amount added in the SA Calculation for earlier years is not an old debt, but is the amount that the tax office collected during the 2017/18 tax year by reducing the tax code in October 2017. This adjustment was designed to collect the tax they estimated would otherwise be underpaid as a result of the change of code. So the PAYE deducted was increased, and now they want to add it to my client's bill.
I only raise this fairly minor query because if it happens once to my client, I assume the program will cause it to happen to thousands of taxpayers under SA
Replies (4)
Please login or register to join the discussion.
I have had this with six client's so far, and expecting more. Call HMRC and they remove it.
Yep, it is affecting thousands!
Not new though, as this has been happening for many years on a limited number of cases. At least HMRC are now aware of it, previously I used to get "well it was in the PAYE coding, computer says no" type answer!
Well, at least the private sector is picking up the costs of flagging up the individual cases, to HMRC.
You really couldn't make this stuff up, in the real world, could you? Most of the operatives, to whom I've spoken, suggest the error is a "glitch", which they know about. While ever the cost element remains in their favour, why the hell would they want to take steps to correct the errors?