A few of our clients with small amounts of investment income have been taken out of Self Assessment and just issued with a P800 tax calculation for 2017-18.
However, I noted that most I have checked are due tax rebates but shouldn't be because HMRC are using the interest received from the 2016-17 tax year. So the client I have just looked at, although the pension income is correct for 2017-18, they have shown the 2016-17 interest and dividends on the 2017-18 P800 so have told her she is entitled to a tax rebate of £100 relating to taxed interest, but she has only received gross interest during 2017-18.
Just a heads up really in case they do end up catching up with these errors.
Replies (1)
Please login or register to join the discussion.
I have had one like yours. DO HMRC think that investment income is 'fixed'? Do they not realise that a managed fund is managed and the income hopefully goes up but may go down.