HMRC Mix Up!

mrs.butler

Thanks so much for everyones replies.

We are now in the process of trying to find the date that the partnership was "created".

It is due to the return being a partnership that he does not have the software!

I have made an appointment to see a different accountant later this week, who I am hoping will be able to do it online. If not I am going to invoice my current accountant for the £100 fine!

POPPYOSCAR

mrs.butler wrote: »

Thanks so much for everyones replies.

We are now in the process of trying to find the date that the partnership was "created".

It is due to the return being a partnership that he does not have the software!

I have made an appointment to see a different accountant later this week, who I am hoping will be able to do it online. If not I am going to invoice my current accountant for the £100 fine!

I personally would get the accountant you are currently with to sort this out with the revenue. If the revenue are saying that the accountant set this up and they are saying they did not, it is for them to sort out between them. If it were me I would insist that this happen and straight away.

I would then change accountants, not because of any mistake, but because of being told to just ignore it.

chrismac1

Why can't your accountant simply file the return from the HMRC website? Agreed, it is clunky and takes about 3 times as long as commercial software but he just needs to get the job done before 31 Jan.

mrs.butler

Thanks again to everyone.

I have been in touch with the HMRC, and they have told me that a partnership was created in my name alone, on 02.07.10, in the companies name and at the company address!! Have no idea how this happened.

I was never aware of this, and have never recieved any paperwork stating such or any other reminders.

They have told me to fill out the Partnership Tax Return with nil in all the relevant boxes. I am also to enclose a letter stating that I was not aware of this, and that I have earned no monies from the partnership, as well as declaring that the partnership ceased on the day that it commenced. I am getting this in the post today, and that should be the end of it. I will not encur any fines.

I am going to keep copies of everything I send them, and have an appointment to see a different accountant this week, and will get him to look over everything.

Sorry this is so long.

POPPYOSCAR

mrs.butler wrote: »

Thanks again to everyone.

I have been in touch with the HMRC, and they have told me that a partnership was created in my name alone, on 02.07.10, in the companies name and at the company address!! Have no idea how this happened.

I was never aware of this, and have never recieved any paperwork stating such or any other reminders.

They have told me to fill out the Partnership Tax Return with nil in all the relevant boxes. I am also to enclose a letter stating that I was not aware of this, and that I have earned no monies from the partnership, as well as declaring that the partnership ceased on the day that it commenced. I am getting this in the post today, and that should be the end of it. I will not encur any fines.

I am going to keep copies of everything I send them, and have an appointment to see a different accountant this week, and will get him to look over everything.

Sorry this is so long.

Glad you are getting it sorted out.

Pennywise

If the partnership never existed, then HMRC can't enforce a late filing penalty and can't insist that you complete a partnership return.

At the end of the day, someone, somewhere has made a mistake. That's irrelevant. What matters is rectification.

The rectification is for either your accountant or yourselves to write to HMRC telling them that there is no partnership. They should then cancel the partnership UTR and you should hear nothing more from them.

What you shouldn't do is submit a partnership return - OK, it "may" make the problem go away, but it's not right to do, as you didn't have a partnership.

I've seen this kind of thing happen before. Usually because on the notification of self employment form the person completing it doesn't understand the implications of saying that you have a business partner. A lot of people fill it in thinking that HMRC mean something as loose as someone they're working with, whereas HMRC really mean a formal, legal business partnership. I suspect this is what happened here - either you or your accountant has filled that form in wrongly when you first started as self employed. Easy to fix, like I say, just write it and tell them there is, and never was, a partnership.

ceeforcat

Agree with Pennywise - any completion of a partnership return is wrong and, in theory, is an incorrect return. Many times I have come across clients with two references or partnerships with two UTRS. It was set up in error - get it deleted. Moreover, your father's business could have a different year end which would really complicate matters!