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Self assessment and next years Tax Code

How to get HMRC not to amend next years Tax Code

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When I prepared a tax return for a high earner last year ( income over £150K) , the client had made a large contribution to his pension scheme to use up allowances he had unusued for previous years. HMRC assumed the client would make the same contribution in 2019-20 and amended his tax code . my client had to contact HMRC to inform HMRC that the contribution would not be the same and so to correct his tax code so that he paid more tax via the payroll so as to avoid having to pay a large amount of tax when his Tax return would be submitted for 2019-20.

My client was told by HMRC that something could be entered on his tax return so that the same thing would not happen again. I cant work out what to do on my clientt's tax return to do this. Never come accross this issue in the past.

If anyone can let me know what to do , I would be grateful.

 

 

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Oaklea
By Chris.Mann
01st Jul 2020 14:04

It is assumed that you are an accountant, presumably registered as an agent?

If that is the case, then you can contact HMRC's dedicated agent line. This is usually a fairly efficient form of arrangement. However, due to the effects of Covid-19 and with most of the HMRC representatives, working from home, there is a lead in delay, to the call (typically more than 10 minutes).

Once you do make contact you can request the changes to the coding, which you require.

Couldn't this enquiry have been posted "openly"?

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By gillybean04
01st Jul 2020 14:46

Guidance notes for SA100 cover this.

Any other information
Box 19 Please give any other information in
this space.
This may include further details of:
• any untaxed foreign interest
up to £2,000
• any one-off pension payments you made
• any gifts you made to charities outside the UK
• any estimates you’ve used
• the name and National Insurance number of
your spouse or civil partner

And also under the pension section it tells you -
Put the total amount in box 1 – that is, your
personal contributions paid to the scheme, plus
the basic rate tax relief. Include any one-off
contributions you made in the year and provide the
details of any one-off contributions in ‘Any other
information’ on page TR 7.

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Replying to gillybean04:
By SteveHa
01st Jul 2020 14:52

Which would be ideal, if HMRC ever bothered to read the white space, but since it's all computer driven these days, even if they do it is likely to be months down the road and too late to address the tax code issue.

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Replying to SteveHa:
avatar
By gillybean04
01st Jul 2020 15:57

Quote:

Which would be ideal, if HMRC ever bothered to read the white space, but since it's all computer driven these days, even if they do it is likely to be months down the road and too late to address the tax code issue.

If you follow the correct procedures, you have cause for complaint when things go wrong. If you don't then you're not in an ideal position to be criticising anyone. Not that it ever stops anyone.

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By Matrix
01st Jul 2020 15:40

No there is no box for this. The best way is to call the agent’s helpline as Chris said but that is not what you asked. And this is after the tax code has been issued.

It is so time consuming and I never thought I would say this, but I have started to get clients to open up government gateway accounts so they can resolve this themselves.

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