Inland Revenue Tax Enquiry!

Puffin_2

Hi Minerva

£50 undeclared,,,,,oooooh your going to be in so much trouble. Not.
You have nothing to worry about, mine was £32,000 supposedly undeclared, they were going to penalise me under £3k until we sorted it all out.

They can penalise you upto 100% of the tax owed not what was undeclared.
So ball park figure your £50 lets say for arguements sake you owe a further £6 in tax, they could penalise you £6, but they always tier it using mitigating circumstances, they will normally penalise from 15-30% so on the six quid additional tax they could penalise you 90 pence to £1.80.

Dont take my figures or information as cast in stone read up on the Revenues web site, I am just giving you a rough idea. Genuine mistakes happen all the time, along with genuine calculation errors, as long as you are honest with them you have nothing to worry about.

And the kind of figures your talking of its hardly worth the paperwork.

And if your doing your books now within £50 depending on the size of the account, you are probably doing very well without an accountant.

Whatever you choose to do, remember its you who is ultimatley responsible not any agent you employ. So you will have to check it your self anyway.

Another thing to boost your confidence, do your books and return, before you submit the return, just go to the tax office show them and ask them to help you check it out,,,Free. then submit it.

Anyhow glad you feel more at ease, you have nothing to worry about. keep good records.

regards
Puffin

Puffin_2

hjd wrote:

I am an accountant - I am not c**p at reading English, but then I also write a lot better English than you do...

oh, hjd, You have made my night with that quote.

After all the sincere advice I was trying to give Minerva, I wrote approx. 20 paragraphs of advice (I'm sure you'll count them now)

And an accountant comes on and obviously spots my spelling mistakes, and probably my bad grammar, and all you can say is you write a lot better English than I do?

oh boy, the more I have contact with accountants the more an*l I think they are.

larmy16

Puffin

Thank you for your posts. I did not notice any poor English, as they were so interesting. As a self employed person, who has never been investigated (yet) - I learned a lot from them and would not feel so worried should they contact me.

:rudolf: :xmastree: :xmassmile

Tim_L

hjd wrote:

I am an accountant - I am not c**p at reading English, but then I also write a lot better English than you do...

Very dangerous indeed to make this sort of comment on an internet bulletin board, as several hundred people will proceed to examine your utterances for any errors of grammar or style.

So I feel I should point out that you probably should have written:

"I also write English better than you".

(Or "My mode of prosodic expression is, I feel, superior in all conventional aspects to that which you employ, m8".)

"A lot better English" is an odd sort of compound noun, when actually you want a noun and an adverb. "Do" is a hanging preposition.

Tiresome, I warrant, but as has been pointed out elsewhere in this thread, there are Inland Revenue penalties for incorrect declarations. We must all be vigilant.

Johnhowell

Minerva,

Also, remember the Tax Office make mistakes as well.

They wanted £160 extra tax on travel allowance I recieved for 18 months. I was dejected as everybody else on site were getting hundreds of pounds refund - "oh no not me"

Anyway - after a few weeks cooling down, I looked at the calculations the IR sent justifying the charge and noticed an error!

Wrote a letter pointing out the error with additional proof of allowances and pay slips (I assumed they had thrown the previous set away:)).

Within a week I received a cheque for £515 (I calculated £499)!

Regards,
John