This week we've had two separate and not connected requests from mortgage providers to obtain forms SA302 (Tax Calculation) from HMRC.
Looking at HMRC's website they seem to indicate that they'll only issue an SA302 if there is an amendment to the SA return.
Please could someone clarify the position, and what's the best method for requesting and getting an SA302 quickly for mortgage application purposes.
Thanks.
Replies (22)
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call them...
i think what they are referring to regarding amendments is where they will automatically issue an SA302.
I believe (although not checked) that the SA302 is available to download online, however it is only where the individual has submitted the return online themselves (why it isn't available as an option to agents only hmrc can answer....presumably they trust the figures we submit less than an individual doing his own return!?!?)
I had this recently
I tried to explain that SA302s are not issued where returns are filed electronically. I said I would write a letter confirming the figures submitted, but someone in the building society could not tick a box, so there was a major problem.
I rang the tax office and they sent SA302s to the client for the relevant years - quite quickly too, but of course it still held things up.
If someone can show me where to print them on line I would be very interested to know as I looked everywhere (the building society insisted it was possible - happy to be proved wrong...)
Logical Fallacy
The problem that these clowns desperate to cover their own backsides cannot grasp is that SA stands for Self Assesment. The client could file any rubbish on their tax return then request an SA302 from HMRC that will just confirm the same.
What these banks/finance companies thinks this proves is beyond me.
@roland...agreed!
it seems the banks now want an SA302 ahead of anything else....@taxhound if you are submitting using software you cannot print off an SA302, you can only do it where you use the revenue software.
Agent line
When my clients need an SA302 I can't print them out from HMRC as I use commercial software. I simply call the agent line at HMRC and they send them out in the post, usually within a couple of days.
It's not a big problem getting them, the agent helpline can be surprisingly good for some things!
We use HMRC own software for returns filing. I am not aware of being able to view an SA 302 on-line, nor request it either off the web.
"SA302 Find out more - Self Assessment tax calculation
The form you're looking for can't be downloaded but you can find help understanding your tax calculation here"
my understanding from the revenue was
that you could do it...perhaps they meant only if you were the individual registered (rather than agent)
Maybe...
...I'm missing something but I use Taxcalc and can generate a SA302 which is available as a report.
Have done this several times, I know the same can be done with PTP
HMRC will issue on request
I had a similar issue last year, the lender would not accept my letter since my qualifications were inadequate. They requested SA302 and HMRC faxed one to me on the afternoon I requested it!
It is coming ....
The abilitty for the agent to print the SA302 from the agent screen is high on the list of development tasks .. or so I read about 6 months ago.
The point about it being self-assessment and therefore not very useful as evidence is correct to a point but if the tax payer is willing to pay tax on an income then they probably earned it! Of course they could amend after they have their mortgage but most people are not going to risk an enquiry from HMRC just to get a mortgage!
Tax Calculation
The point about it being self-assessment and therefore not very useful as evidence is correct to a point but if the tax payer is willing to pay tax on an income then they probably earned it! Of course they could amend after they have their mortgage but most people are not going to risk an enquiry from HMRC just to get a mortgage!
Even if we accept that amended filing lead to a significantly higher enquiry risk, an SA302 is not a useful confimation of income for the self employed as it only shows taxable profits which can often be very different from accounting profits due to Annual Investment Relief for instance.
Conversely, a business with much disallowable expenditure like entertainment could show the opposite - a higher taxable profit than is actually the case.
Which one is the most accurate indication of income?
Kent accountant
I think most commercial software will print a tax calculation which might even be called an SA302. However, that's not what the lenders want - they want something that comes from the Revenue.
I agree with others - the Revenue will send them out on request.
Part of the problem is that the lenders don't know what they're asking or why they're asking - it's just something on a ticklist!
SA302 update... read this...
I too recently had a request from a mortgage provider for a SA302 when one of my clients wanted a mortgage.
Easy to obtain from HMRC - I got client to ring saying it was urgent etc etc and it arrived within 5 days.
HOWEVER>>> I spoke to the mortgage broker about this and he said that all providers he dealt with insisted (note the word... insisted) on SA 302's now - not interested in receiving accountants letters. Read his email for a further interesting development...
Hi Jennifer All i can say is it is a sign of the times. Most lenders will not accept references from accountants as they consider it less likely for a fraud to be committed if the figures have come direct from the Inland Revenue. There are rumours that mortgage companies will have access to clients income direct from Revenue very soon.
Will do so by fax
Having requested them by post for some time now I recently discovered (via a mortgage advisor!) that HMRC will be happy to fax them across and in the 2 or 3 cases this has happened it was here within a couple of hours.
I concur
SA 302 can be printed from most commercial tax return software but not all call it SA302 Tax Calc does and I have had success in using these. I do however always request an "official" copy via the agent helpline and these appear quite swiftly,just in case the lender rejects the taxcalc version. But as mentioned above lenders dont actually know what they want how many times do you get a request,for audited accounts, for Bob the builder.
Problem is that SA302 shows taxable income, I have clients who claim SED so taxable income is nil even if they earned £100k, also non res clients who earn big money but UK taxable income is minimal.(perhaps a forces pension)
Its problem which is rife in the industry our answer was to suggest clients use a particular mortgage advisor who you recommend,and who understands the problems with SA302. The Banks simply just dont get it.
Fax
If you call the agent help line they should print them off and fax to you. You might get a numpty who has to request them simply because you were unlucky and got somebody who answered the phone!
printing them from HMRC's website
If HMRC are getting fed up with these requests, they should make them available to print on the agents' website. Then we could do it ourselves and save us, and them, a load of time and effort.
sa302 form
I'm currently in the process of applying for a mortgage with Halifax. As I am self-employed Halifax have asked to see my last 3 years SA302's as proof of income. So i contacted HMRC on the phone number 03002003300 and asked for them. After approx 10 days i received 3 letters and none of them specified is a SA302 form. I even surfed the internet trying to find a copy of this form so i could have an idea about the way it should look. The best i found is this https://www.dropbox.com/s/tpo29rmsvszfvbi/sa302.zip . Unfortunately none of those letters i received looks that way. Can someone send me a website where i can see a copy of this form? Thank you.
I've just had a mortgage Advisor make me feel really silly as I sent what I felt showed the tax liability including the accounts but he said "this doesn't look like anything we've received for other self employed applicants" Having seen this thread it all makes sense as to why I don't have the relevant information to hand.
I will call HMRC tomorrow and see if I can get something faxed over, but agree HMRC should make it available to download which would surely save a lot of additional work for everyone.