Help/advice with HMRC!

Themanacles

Hello, not sure if this is the right place to post this, but I need some advice on dealing with HMRC.

my wife is self employed and applied for the grant from the government due to the pandemic. She fits all criteria but she was denied it. This was due to her not completing her last tax return correctly according to HMRC. She paid the tax return, the money left our bank and was transferred to HMRC’s account.(which HMRC can see) but it was never assigned to her ‘tax return’.

My wife was unaware this happened until we rang to query why she wasn’t eligible for the grant. HMRC never sent us a letter saying she hadn’t paid her tax. The most she got was an email saying she had a message in her ‘government gateway’ but when logging in there was no message. But interestingly when talking on the phone, HMRC told her to check the messages again, and they magically appeared! Despite not being there in the morning (they have since disappeared and she can’t find any trace of them!)

She was advised by HMRC to pay her tax bill and the fine (which she didn’t have a problem with) and to reapply for the grant. She would be declined and then to appeal and her case would be looked at. She was told she had a good case as she ‘had’ paid her tax it just wasn’t assigned correctly. Her intention was to pay it. She was declined and when ringing up to appeal she was told a flat out no, she wasn’t eligible because she didn’t pay her tax bill. 

Obviously this is quite unfair as it was either a mistake by HMRC or a mistake on her part. We are both fuming from trying to explain this to the ‘robots’ you speak to on the phone (but saying that we did speak to a few people who were very helpful). I think everyone would agree, the government gateway is far from the best website and it’s a nightmare to navigate. 

We are going to write a letter of complaint to HMRC, but everyone I’ve spoken to have said there’s no point as HMRC are in their own ‘bubble’ and will never change their mind. Can this be true? Has anyone ever spoken to someone at HMRC who has listened and actually helped? Any advice on what we can do? We do really need the grant to pay our bills and mortgage, let alone feed our kids!!!!

Jeremy535897

Payment of tax is not a criterion for SEISS. Are you sure this was the issue rather than incorrect information on the return?

[Deleted User]

HMRC will change their position if they are wrong, they will not change their position if the person complaining is wrong. When many people say that HMRC are in their own bubble and never change their mind they are wrong, what those people actually mean is that HMRC will not bend the rules for them, which HMRC will never do, HMRC are sticklers for rules, as they have to be.

I did once have an issue with HMRC mis-allocating a VAT payment, they issued fines because they said that it had not been paid. I had paid online using a debit card via their system and once I communicated with them they cancelled the fines and sorted everything. Something to do with the system not allocating a payment against the amount due.

As @Jeremy535897 says, having paid the tax bill is not a requirement for SEISS. Are you sure you are speaking with HMRC and not one of the many scam lines that have popped up, check exactly who you have paid the money to.