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MSE News: HMRC sorry after 12,000 penalty threats sent in error

This is the discussion thread for the following MSE News Story:

"Thousands have been threatened with a fine for not submitting a tax return despite stating they weren't self-employed"

Comments

  • tabath
    tabath Posts: 497 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    I shouldn't be getting SA as I didn't work at all that year (although I forgot to cancel my NI contribs) but I still submitted a zero return. However despite pressing the submit button and writing down the submission receipt code as both their telephone messages and website say I was still issued with a fine because apparently I should have clicked submit again ! When I found this out and under instruction from a tax rep on the phone went back into my online account to click submit again I was emailed a receipt which contained what? Yes you guessed right - exactly the same submission receipt number I had written dwon and quoted to the tax on the phone as evidence that I had submitted my zero return!! I wrote to them about this but am still waiting to hear back!
    Starting MB- looking for Raf offers.

    Amazon Club Sellers member 0015 come and join us make some space and get hold of some cash, we're on the Ebay and other auctions, Car Boot and Jumble Sales Board
  • Consumerist
    Consumerist Posts: 6,311 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    But none of these foul-ups really matter because HMRC will tell us that the vast majority of their "customers" are delighted with their service. :rotfl:

    So there's no problem then, is there?
    >:)Warning: In the kingdom of the blind, the one-eyed man is king.
  • purplepaws
    purplepaws Posts: 78 Forumite
    Part of the Furniture 10 Posts
    I would of preferred a threatening letter from HMRC.

    HMRC do not know their backsides from their elbows.
    Incompetent, incompetent, incompetent.
    No one at HMRC will take any initiative when you call to sort out problems, never get the same person twice.
    My Hubby was told that there is no one in the Customer Service Department on Fridays!!!! Nice, 4 day week.

    They have 'lost' our SA (which just so happens to indicated that we are owed a very LARGE rebate from them) which has been owed since Jan 2012.
    So, they get a lovely 0.1% per day interest on money that they owe us. I wonder if we will get any of that when they eventually find out paperwork.
    Idiots.
    Grrrrrr!
    DMP launched 04/07/17 left to pay = £14,238.79 (£16,982.82 original debt.) Thanks to MSE & all you wonderful Forum Peeps!:T
  • System
    System Posts: 178,388 Community Admin
    10,000 Posts Photogenic Name Dropper
    purplepaws wrote: »
    .
    No one at HMRC will take any initiative when you call to sort out problems


    That's not part of the call type process :mad:
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
  • Stephen_Leak
    Stephen_Leak Posts: 8,762 Forumite
    1,000 Posts Combo Breaker
    Who do you go to, if you have a problem with your income tax? Clearly, it isn't the HMRC. :)
    The acquisition of wealth is no longer the driving force in my life. :)
  • Mikeyorks
    Mikeyorks Posts: 10,378 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    It might have been useful if the News item had fully clarified that these were people who were required to submit a Return. Hadn't done so - and received this enclosure with their Penalty Notice:

    http://www.hmrc.gov.uk/sa/forms/late-return.pdf

    Mind you HMRC - after being a bit proactive - then have no excuse for making a mess of it after soliciting contact ..... and getting it!
    If you want to test the depth of the water .........don't use both feet !
  • M0DB0Y
    M0DB0Y Posts: 2 Newbie
    edited 10 September 2013 at 8:11PM
    I was briefly freelance for my company. After 6 months they offered me a job. HR told me I did not have to complete a self assessment and that they would inform HMRC of my change in situation and that they would calculate my tax for the year. Shortly after I moved into a new flat and informed my employer of my change of address. I've been with the company for over three years now. I found out on the weekend that a debt collection agency was chasing me for debt and that their client was HMRC. I called them as I thought it was a scam. It turns out HMRC had continued to treat me as self employed even though I was paying in taxes on PAYE. They did not have an up to date address for me and had been sending fines to my old address. I've been charged £100 + £10x90 + £300 + £300 + interest. Not sure if I'll have to multiply this total by 2 as I became self employed in the second half of 2010. It never occurred to HMRC to call my employer and request that I contact them. Anyway bad HR advice and not receiving HMRC posts has meant that I've been hit with a huge fine and all the time I'd been paying my taxes. Not sure where I stand legally but all these fines seem very unfair. Could anyone help or offer advice?
  • System
    System Posts: 178,388 Community Admin
    10,000 Posts Photogenic Name Dropper
    This is an old thread and it would probably have been better for you to start a new thread but here goes.

    Yes you received bad advice by your employer initially.

    Two things though.

    You should have told HMRC your new address. It wasn't your employers responsibility to do that for you.

    Secondly being employed and paying tax via PAYE is not an indication that your self-employment stopped. Lots of people are self-employed and employed at the same time.

    You need to contact HMRC and get your outstanding tax returns done as soon as possible. Also besides the tax penalties for failing to file on time it is likely that the National Insurance Contributions Office will be pursuing you for owed Class 2 NI contributions too.

    You can appeal penalties but they usually don't look at appeals until the returns are in and processed.
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
This discussion has been closed.
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