Help required HMRC Problem - 9 years a slave :-)

[paulhil]

Hi all

 

I recently got a visit from the field force division of HMRC.

 

They say i owe £4K in fines for not completing tax returns since 2005/6 til present day

 

 

Ive been employed/self employed/unemployed at various times through that period.

 

I dont really know how to deal with this ...

 

Do i have to pay the fine, submitt 9 years worth of self assessment and then pay any tax on top ..does the £4K get deducted from anything i might owe?

 

How do i get all those bank statemts/dole payment/business accounts?

 

Ive really messed up here and had my head in the sand, any advice on how to get myself out of this mess appreciated/

[rebel11]

Hi paul

 

Welcome to CAG

 

It's not an impossible situation. You at some point might need the help of an accountant when all the info has been gathered. At the moment your priority is to gather all the relevant information. The accountant can help with the fine if there are mitigating circumstances. You should be able to get at least 6 years of data (but in some cases it will be more) from the DWP, employers, banks etc.

 

Any info you can't get will have to be a reasoned guess. Buy some folders so you are organized. In the library you will find a SAR (Subject Access Request) template, that is what you need to send to DWP, employers, banks etc. Include all your addresses and reference numbers.

(Template will need adapting for the info you seek, or google the type of template you require)

 

If you've been miss-sold PPI or have credit card charges, then you can claim them back with interest, this is a consideration after you've dealt with the tax situation, but you will have info to hand, statements etc.

 

This might look daunting, but with a bit of organization and effort you will get it resolved.

 

I've amended the title, so the guys know what it's about.

[paulhil]

Thanks for the reply, i will start o al this today, in the meantime, can i just tell the "baliff"/field force person to leave me be until i can get the data together?

[rebel11]

Hi Paul

 

What's the name of the firm/field force?

 

Call HMRC explain that your dealing with the matter, but will need sometime to get your affairs in order. Tell them to call off the bailiffs, tell them you want this in writing from them.

 

Thanks for the reply, i will start o al this today, in the meantime, can i just tell the "baliff"/field force person to leave me be until i can get the data together?

[paulhil]

hmrc/debtmanagementunit/field force?

[rebel11]

Contact HMRC Debt Management, remember you are going to need months not weeks. It will take more then a month to get all the info.

 

http://www.hmrc.gov.uk/payinghmrc/problems/cantpay.htm

 

 

hmrc/debtmanagementunit/field force?

[paulhil]

Paid £300 for 2010 late filling which she says wil buy me sometime .. wil the SAR work if im trying to get Ltd company accounts?

[rebel11]

Hi paulhil

 

Are they your accounts when you were self-employed?

 

Paid £300 for 2010 late filling which she says wil buy me sometime .. wil the SAR work if im trying to get Ltd company accounts?

[paulhil]

yes ... two ltd company accounts with different banks..

[rebel11]

Hi paulhil

 

I don't think that should be a problem, you will need to send £10 with each Request, It's an idea to send them Recorded delivery. The request to the DWP is free.

Make sure the HMRC send you a receipt for your payment. Don't forget to buy some folders.

 

You send the SAR to their Registered Office.

 

 

yes ... two ltd company accounts with different banks..

[paulhil]

Thanks for all the help.

 

Im reading that its not possible to submit returns/SA for anything over 4 years?

 

If that is the case will they then reject all my SA's from 05-09?

Edited March 5, 2014 by paulhil

[rebel11]

Where did you read this?

 

Thanks for all the help.

 

Im reading that its not possible to submit returns/SA for anything over 4 years?

 

If that is the case will they then reject all my SA's from 05-09?

[paulhil]

.accountingweb.co.uk/anyanswers/tax-return-over-six-year-old

 

We picked up a client who was horribly behind. We filed some old Tax Returns and HMRC refused to process them, which they are within their rights to do. There is no right of appeal against determinations, so where to next...?

 

We have appealed against the legality of the determinations. TMA s28C says: "An officer of the Board may make a determination ... to the best of his information and belief ... the amounts in which the person who should have made the return is chargeable to income tax and capital gains tax for the year of assessment".

 

It has been through lower tribunal and is on it's way to upper tribunal, being a point of law. The law says that the Inspector must have information and the determination must be his best estimate of the actual liability. However, HMRC's Debt Management & Bank Manual at 518020 says that they start at £500 where previous years have no liability (which is our case) and then add a percentage for all the following years. This does not seem to be in accordance with the legislation.

[BazzaS]

Thanks for all the help.

 

Im reading that its not possible to submit returns/SA for anything over 4 years?

 

If that is the case will they then reject all my SA's from 05-09?

 

They don't have to act on returns after 6 years (although bizarrely they can still insist you provide returns which they then won't consider). They might act on them (especially a return at or only just over the cut-off).

 

Your priority should be

A) any years where you might be headed for being "out of time" where they may have made a "determination" provided getting a return in may give a much lower liability, as you don't want to miss that chance, Followed by

B) returns attracting the greatest penalties, (2010/11 onwards) then

C) other returns still "in time to be assessed", then

D) returns clearly "out of time to be assessed".

 

Check out my contributions to http://www.consumeractiongroup.co.uk/forum/showthread.php?395663-HMRC-Wanting-money-my-partner-doesnt-owe-help-please-we-live-in-NIreland-)

and http://www.consumeractiongroup.co.uk/forum/showthread.php?412241-Self-Assesment-behind-and-not-straight-forward&p=4420531#post4420531 for background / similar.

[rebel11]

Hi paul

 

That might be the case, don't worry about that for the time being, that's something for the accountant to present to HMRC. Start gathering the information.

 

.accountingweb.co.uk/anyanswers/tax-return-over-six-year-old

 

We picked up a client who was horribly behind. We filed some old Tax Returns and HMRC refused to process them, which they are within their rights to do. There is no right of appeal against determinations, so where to next...?

 

We have appealed against the legality of the determinations. TMA s28C says: "An officer of the Board may make a determination ... to the best of his information and belief ... the amounts in which the person who should have made the return is chargeable to income tax and capital gains tax for the year of assessment".

 

It has been through lower tribunal and is on it's way to upper tribunal, being a point of law. The law says that the Inspector must have information and the determination must be his best estimate of the actual liability. However, HMRC's Debt Management & Bank Manual at 518020 says that they start at £500 where previous years have no liability (which is our case) and then add a percentage for all the following years. This does not seem to be in accordance with the legislation.