Self Assessment: Final Demand - Please help!

Johnny2323

Apologies if this is in the wrong section. I wasn't sure.
This morning 3rd March - It was dated 16 February - I received a bill from HMRC headed Self Assessment: Final Demand which says "You missed the 31 January payment deadline".

I didn't. I paid all the money I owed for 07/08 on January 30th. However I did expect to owe some money from 06/07 because I claimed for reduced earnings which in the end didn't materialise - I had no idea what this sum would be and I can only guess that this final demand is HMRC's way of telling me, not that it is explained at all.

There are several phone numbers on the letter. Both say they are experiencing high volume of calls and advise to call back at a later date.

On the demand it says "If we don't receive the ammount overdue by 28 February we will add a further 5% surcharge to the amount owed"

1. I didn't recieve this until after Feb 28 so the 5% surcharge seems out of order
2. I am uncertain exactly what it is for
3. I don't have any money to pay it anyway - not even a CC

Any advice anyone can give would be much appreciated or if anyone has had experience with this before.

angelavdavis

Johnny2323 wrote: »

I didn't. I paid all the money I owed for 07/08 on January 30th. However I did expect to owe some money from 06/07 because I claimed for reduced earnings which in the end didn't materialise - I had no idea what this sum would be and I can only guess that this final demand is HMRC's way of telling me, not that it is explained at all.

Did you submit a self assessment form in time for the January cutoff? How did you pay the money? It needs to have cleared by the cutoff - usually why you receive these notes is because they have crossed (not always - I once was fined and had to pay the fine, then prove that I had actually submitted in time).

Mikeyorks

As Angela says .... but did you file a Return for 07-08? As that would explain a payment reminder in general terms - rather than specific value.

Ring their payment helpline (Tel 0845 366 1204 ) :
http://www.hmrc.gov.uk/sa/not-pay-bill.htm ...... you should get through to them more readily ..... and they can advise the state of your record.

If there is anything owing ..... I doubt you'll duck the 5% surcharge because the reminder didn't arrive in time! There's plenty of prior information on the previous documents you've had ... and online if you're registered.

devotee101

Johnny2323 wrote: »

Apologies if this is in the wrong section. I wasn't sure.
This morning 3rd March - It was dated 16 February - I received a bill from HMRC headed Self Assessment: Final Demand which says "You missed the 31 January payment deadline".

I've had exactly the same letter. Their helpline has been jammed all day with people like us phoning up!

It's a cockup at their end. In my case, I do owe a small amount but it's supposed to be paid back via my tax code. The nice lady on the phone gave me the number of my tax office and told me to ask them to move the balance over to my tax code.

Panic over! Hope you get sorted.

Ant

Johnny2323

I did cut it fine. accountant submitted return on 29/1. paid at the post office on 30/1.

thanks for replies. really hoping this is just a mix up as I don't have any spare cash at all and no way of getting any, so highly stressed about this. have tried about five different numbers and no joy, all say "experiencing high volume" etc.

Mikeyorks

Johnny2323 wrote: »

accountant submitted return on 29/1. .

In which case he should have submitted it online (too late by then for paper). So should know precisely what you owe? If that's what you paid 30/1 .... then I'd give it a few days to ring them as it should be OK.

If you overcooked the reduction of 06/07 payments on account (or were they the payments on account for 07/08) ..... that should be out of the way by now? If your accountant can't help then do contact HMRC ... but give it until early next week for the backlash from the reminder issue to die down.

Johnny2323

Mikeyorks wrote: »

In which case he should have submitted it online (too late by then for paper). So should know precisely what you owe? If that's what you paid 30/1 .... then I'd give it a few days to ring them as it should be OK.

If you overcooked the reduction of 06/07 payments on account (or were they the payments on account for 07/08) ..... that should be out of the way by now? If your accountant can't help then do contact HMRC ... but give it until early next week for the backlash from the reminder issue to die down.

Accountant submitted online and I paid the sum calculated for 07/08.

But yes reduction for 06/07 was "overcooked" but I'm uncertain by how much. I was expecting them to send me an assessment with a breakdown of that.

On a seperate note: I'm assuming that lots of people received these final demands today. Do HMRC believe in time travel? Can they really apply a surcharge for sums that were overdue before the demands were received?

leithhibby

I got a letter today 4/3/09 and it was dated 17/2/09 (a full 15 days after posting which gives me only 15 days before another penalty is added) saying I am due them £100 for not submitting a self assessment tax return for 07 08, the thing is I never received any letters saying I had to fill this thing in and as I am in full time employment I didn't think I had to, also I was in full time education on these dates, but after calling the helpline they inform me that anyone can be told to fill one of these forms out regardless of you employment status, by law.

I am really annoyed and frustrated because after talking to the helpline I might get the £100 rescinded but I have to fill in all these forms plus I still have to fill in this self assessment form and the person told me to do it online and it would be 'easier' after going on the website and finding out I have to register I then clicked to view the terms and conditions to which the computer said application error, so how can I fill in the form if I cant read the T&C's and I certainly wont be just accepting them. all this is just another bit of stress that I can really do without and if they're going to send out threatening letters for £100 you think they would at least get their website and post in order before doing so. :mad:

Simran

This has happened to many people - HMRC cannot charge a penalty provided that your tax return was submitted online by 31st January 2009; you will not need to pay the 5% surcharge provided you paid the tax due for 2007-08 by 28th February.

I would recommend that you make these points to them in writing. Your online account will also confirm when the tax return was submitted etc, you should print off the relevant pages and send these with your letter.

Johnny2323

They send letters after deadline days.
They use 2nd class post.
They are uncontactable by phone.
And their auto-response to email enquiries is that they will respond in 10 days.
I believe they want people to make late payments so they will make more money from us. I also believe they make things as confusing as possible for people. It's scandalous - but we have to accept it?

Johnny2323

Simran wrote: »

This has happened to many people - HMRC cannot charge a penalty provided that your tax return was submitted online by 31st January 2009; you will not need to pay the 5% surcharge provided you paid the tax due for 2007-08 by 28th February.

I would recommend that you make these points to them in writing. Your online account will also confirm when the tax return was submitted etc, you should print off the relevant pages and send these with your letter.

Thank you. I think I will do this. Thing is I know I must owe some for 06/07 as i claimed for reduced income but earned more than I estimated. I expected them to let me know what the shortfall was but they haven't. I am only guessing that this is the ammount on the final demand. I thought that they were supposed to send you a statement of what you've paid, what you owe, etc.