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Tax Bill from 2017/18 received
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jhe
Posts: 1,826 Forumite


in Cutting tax
Looking for advice on a tax bill received please
reached retirement age and pension paid from early 2017 but still worked in paid employment and paid my tax on my wages every week.
in 2021 received a tax bill for over £500 for tax year 2017/18.
phoned HMRC immediately about it, after a lengthy phone call I was told actually they owe me and refunded over £700 to me
fast forward last week I received a tax bill for 2017/18 for over £500.
after another phone call to HMRC I was informed the refund given to me in 2021 was for another tax year and I still owe the outstanding amount from 2017/18
i am now retired this is a huge amount for me to pay,
from the time I claimed my pension and carried on working, every year I owed tax at the end of each tax year, my tax code was always adjusted to cover what was owed from the previous tax year .
is this normal to receive a bill from so far back ?
reached retirement age and pension paid from early 2017 but still worked in paid employment and paid my tax on my wages every week.
in 2021 received a tax bill for over £500 for tax year 2017/18.
phoned HMRC immediately about it, after a lengthy phone call I was told actually they owe me and refunded over £700 to me
fast forward last week I received a tax bill for 2017/18 for over £500.
after another phone call to HMRC I was informed the refund given to me in 2021 was for another tax year and I still owe the outstanding amount from 2017/18
i am now retired this is a huge amount for me to pay,
from the time I claimed my pension and carried on working, every year I owed tax at the end of each tax year, my tax code was always adjusted to cover what was owed from the previous tax year .
is this normal to receive a bill from so far back ?
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Comments
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jhe said:Looking for advice on a tax bill received please
reached retirement age and pension paid from early 2017 but still worked in paid employment and paid my tax on my wages every week.
in 2021 received a tax bill for over £500 for tax year 2017/18.
phoned HMRC immediately about it, after a lengthy phone call I was told actually they owe me and refunded over £700 to me
fast forward last week I received a tax bill for 2017/18 for over £500.
after another phone call to HMRC I was informed the refund given to me in 2021 was for another tax year and I still owe the outstanding amount from 2017/18
i am now retired this is a huge amount for me to pay,
from the time I claimed my pension and carried on working, every year I owed tax at the end of each tax year, my tax code was always adjusted to cover what was owed from the previous tax year .
is this normal to receive a bill from so far back ?
Have you got the calculation showing how the £500 was arrived at?1 -
Dazed_and_C0nfused said:jhe said:Looking for advice on a tax bill received please
reached retirement age and pension paid from early 2017 but still worked in paid employment and paid my tax on my wages every week.
in 2021 received a tax bill for over £500 for tax year 2017/18.
phoned HMRC immediately about it, after a lengthy phone call I was told actually they owe me and refunded over £700 to me
fast forward last week I received a tax bill for 2017/18 for over £500.
after another phone call to HMRC I was informed the refund given to me in 2021 was for another tax year and I still owe the outstanding amount from 2017/18
i am now retired this is a huge amount for me to pay,
from the time I claimed my pension and carried on working, every year I owed tax at the end of each tax year, my tax code was always adjusted to cover what was owed from the previous tax year .
is this normal to receive a bill from so far back ?
Have you got the calculation showing how the £500 was arrived at?
I asked for an explanation -HMRC said
an underpayment occured as a result of actual gross income being higher than estimated gross income that was included in my tax code.
Its frustrating I thought it was sorted back in 2021 when they refunded me
I am guessing the refund is for 2020/21 it is the only tax year they did not discuss during my phone call to them a few days ago, but that was not explained to me back in 2021 when I phoned about the original bill that is over £5000 -
You should be able to agree a repayment plan with them if they have agreed that this is, in part at least, their error. So they could change your tax code for 2024/5 and that would allow you to pay it off over the coming tax year.I’m a Forum Ambassador and I support the Forum Team on Debt Free Wannabe, Old Style Money Saving and Pensions boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.
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Brie said:You should be able to agree a repayment plan with them if they have agreed that this is, in part at least, their error. So they could change your tax code for 2024/5 and that would allow you to pay it off over the coming tax year.
That definitely won't be possible now. But arranging to pay it off bit by bit should be possible.1
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