R40 interest section

krwest101

Dear all, I wonder if you can help me please. The PPI company that I went through (JPS Financial) have submitted the R40 to HMRC and in the 'interest' section they have put the figures as the *full* amount of PPI repaid to me. I thought this section just dealt with interest? I am now left owing money to HMRC! I have a final responses document in regards to my PPI, but I'm getting nowhere with JPS or HMRC and I don't know enough about this kind of thing to know whether the figures are correct or not. Please can someone advise? Thank you. 

[Deleted User]

If they put in the full address, then they're messed it up. Still, at least they'll still get paid well for it.

The figure should be statutory interest. It'll be much simpler to deal direct with HMRC and do it yourself. You'll still need to pay the PPI company, but at least it'll be correct.

krwest101

ZX81 Thank you. So may I just ask if the figures that should have been entered on the form are only the two lines that state 'interest' added together and no tax has been deducted?:

[Deleted User]

It's just the 8% statutory interest.

Tax has been paid at the basic rate.

krwest101

ZX81 Thank you so much, I really appreciate your help.

Dazed_and_C0nfused

Have you signed a legally binding "deed of assignment" with JPS Financial?

If so they may still be entitled to receive any tax refund that is due, even if you actually sort out the correct figures with HMRC.

The amount they (JPS Financial) should then pass on to you will depend on the terms you signed up to

krwest101

Dazed_and_C0nfused Thank you. I signed their terms and conditions last year electronically. It is actually this signature they have used on the R40. I had never seen the R40 until I requested from them a few days ago after receiving the letter from HMRC. JPS are refusing to acknowledge their mistake and apparently 'the case is closed' to them. I hope HMRC will accept a new R40 from me as I don't want to have to go to court. 

Dazed_and_C0nfused

krwest101 said:

Dazed_and_C0nfused Thank you. I signed their terms and conditions last year electronically. It is actually this signature they have used on the R40. I had never seen the R40 until I requested from them a few days ago after receiving the letter from HMRC. JPS are refusing to acknowledge their mistake and apparently 'the case is closed' to them. I hope HMRC will accept a new R40 from me as I don't want to have to go to court. 

I suspect the "case is closed" as there is no repayment due.  At the moment.

If you manage to get a revised R40 accepted by HMRC and a refund becomes payable then I think HMRC will have to pay that to JPS and they will want to keep their cut.

Which tax year was the claim for?

krwest101

Yes, I see what you mean. It's for tax year 2017-18. Thank you for your help and advise.

Dazed_and_C0nfused

You do still have a small window to correct things for 2017:18, but you must make sure HMRC have the correct details by 5 April 2022 at the very latest.

https://www.litrg.org.uk/tax-guides/tax-basics/how-do-i-claim-tax-back#:~:text=You have four years from,becomes 'closed' to claims.

krwest101

Dazed_and_C0nfused.. Hi, me again! The HMRC have now sent this back. This still doesn't look right to me. They haven't put the tax I have paid £868.65 (details in picture above). On the R40 I submitted I put both figures. Please would you kindly advise.