Tax return form no longer required?

techno79

Hi. I'm a higher rate tax payer and I've had to fill in my tax return each year. I've just filled it in for the past year and I've received a message from HMRC saying that I no longer need to fill in the return unless I'm asked to unless there's a change of circumstances.

However, unless I fill in the tax return, how do small variable items like savings interest and charity donations get factored in?

Pennywise

techno79 wrote: »

However, unless I fill in the tax return, how do small variable items like savings interest and charity donations get factored in?

Use the new personal tax account. You can enter that kind of thing in it which is the new way of keeping HMRC records up to date, thus making the SA return redundant. If you don't have a PTA, you can apply online for it, or you can phone through to HMRC with your interest/gift aid details and they'll update your account.

techno79

Pennywise wrote: »

Use the new personal tax account. You can enter that kind of thing in it which is the new way of keeping HMRC records up to date, thus making the SA return redundant. If you don't have a PTA, you can apply online for it, or you can phone through to HMRC with your interest/gift aid details and they'll update your account.

Perfect, thank you for the quick reply.

anselld

The last time that happened to me they changed their mind three years later and asked for three years retrospectively! It would have been much easier to just carry on doing SA (which I have done ever since).

techno79

Pennywise wrote: »

Use the new personal tax account. You can enter that kind of thing in it which is the new way of keeping HMRC records up to date, thus making the SA return redundant. If you don't have a PTA, you can apply online for it, or you can phone through to HMRC with your interest/gift aid details and they'll update your account.

I've just logged into my PTA and I couldn't find how to update it online. I then initiated an online chat with HMRC to get help and they've told me that you can't do it online, you have to ring up or write in. Bit of a shame as I prefer to do it online.

Pennywise

techno79 wrote: »

I've just logged into my PTA and I couldn't find how to update it online. I then initiated an online chat with HMRC to get help and they've told me that you can't do it online, you have to ring up or write in. Bit of a shame as I prefer to do it online.

But you will be able to do it in the future - HMRC's PTA is a work in progress during this transitional period.

chrismac1

Maybe I am a bit paranoid from the way HMRC operate. I mean I would call them a shambles but that would be a gross insult to your average shambles.

The BIG advantage of the tax return is that it can be done by software that is independent of HMRC. Collectively over the last 5 years this has saved my client base over £2,000 in fines and secured my practice - via the clients - nearly £1,000 in compensation case claim refunds from HMRC.

Why this is the case is that the HMRC has either deleted a submission completely, or in one case totally mixed it up with a random taxpayer who had a hefty bill due which they then went after my client for.

I really don't know what I would have done in either case if I had not had clear, unambiguous proof from my software package that it was HMRC who had screwed up. Because in both of these cases HMRC were adamant it was 100% my clients' errors until I made it clear that my next letter would not be to HMRC but to the Tax Tribunal.

So definitely keep PDF copies of everything you put into that database, and include on there a date and time stamp back saying it has been acccepted by the database.

techno79

chrismac1 wrote: »

Maybe I am a bit paranoid from the way HMRC operate. I mean I would call them a shambles but that would be a gross insult to your average shambles.

The BIG advantage of the tax return is that it can be done by software that is independent of HMRC. Collectively over the last 5 years this has saved my client base over £2,000 in fines and secured my practice - via the clients - nearly £1,000 in compensation case claim refunds from HMRC.

Why this is the case is that the HMRC has either deleted a submission completely, or in one case totally mixed it up with a random taxpayer who had a hefty bill due which they then went after my client for.

I really don't know what I would have done in either case if I had not had clear, unambiguous proof from my software package that it was HMRC who had screwed up. Because in both of these cases HMRC were adamant it was 100% my clients' errors until I made it clear that my next letter would not be to HMRC but to the Tax Tribunal.

So definitely keep PDF copies of everything you put into that database, and include on there a date and time stamp back saying it has been acccepted by the database.

Yes, I save a PDF of my submission receipt and the tax return and calculation documents (so pretty much everything) just in case.