Interest charge backdated months without being told

pbolding

I did my 22-23 self assessment in mid-May and it said at the end I owed £500-odd by 31 Jan 2024. Fine. Then I noticed two weeks later they had backdated that amount to 31 Jan 2023 and started charging me interest as it was unpaid, months before THEY even knew I owed it. No notification of any of this. I called and - if I understand correctly - they had decided after my latest return that I could be taken out of self assessment so the amount became due in Jan 2023. This seems grossly unfair and I mention it a) in case anyone wants to tell me anything and b) in case it makes others aware of the need to check their HMRC self assessment page a while after making the return.

Dazed_and_C0nfused

pbolding said:

I did my 22-23 self assessment in mid-May and it said at the end I owed £500-odd by 31 Jan 2024. Fine. Then I noticed two weeks later they had backdated that amount to 31 Jan 2023 and started charging me interest as it was unpaid, months before THEY even knew I owed it. No notification of any of this. I called and - if I understand correctly - they had decided after my latest return that I could be taken out of self assessment so the amount became due in Jan 2023. This seems grossly unfair and I mention it a) in case anyone wants to tell me anything and b) in case it makes others aware of the need to check their HMRC self assessment page a while after making the return.

In 25 years of Self Assessment I have never heard of that happening to anyone else.

Are you certain you didn't make an incorrect claim to reduce 2022:23 payments on account.

And when he return was filed they were (correctly) reinstated 🤔

What exactly does your statement of account show?

pbolding

Ah yes I did do that because I knew the untaxed interest would fall a lot. So the account (dated May 2023) says ...

                       

pbolding

And the View Yoru Calculation two weeks ago for 22-23 said at the end ... 2022-23 balancing payment £535.60
Total due by 31 January 2024
£535.60

Dazed_and_C0nfused

Unfortunately the Self Assessment calculation doesn't take into account POA due based on the previous years return.

Basically you've over egged the claim to reduce the POA and that has come back to bit.

You will no doubt have another £267.80 to pay on July 2023 and nothing to pay in January 2024.

pbolding

Indeed and paid that already. Probably happened because interest rates went up. I stupidly assumed the SA software would work all this out at the time. Many thanks for the advice. Would have been nice if HMRC had found a way of telling me. Only spotted it by chance because I went in to look for a notice of coding change (which is also missing - but that's another story, I guess.)