From 19th November 2018, HMRC will be reviewing and reworking up to 30,000 self assessment tax returns for 2016/17, where they believe there is a risk that their tax calculator has incorrectly calculated the tax liability.
Please note, this only affects returns that were filed online and that were subject to a specific list of “exclusions”. A tax return may be excluded, which HMRC’s tax calculator is unable to compute a tax liability correctly.
If your tax return is affected, HMRC will send you a new tax computation (called an SA302), together with advice on what you need to do, by the end of November 2018.
If you have received an amended SA302, you should carefully check the calculation before paying any balance due. If you have an accountant or tax adviser, please make sure you share the SA302 with them, as HMRC are not sending copies to agents.
Please make sure you deal with the amended SA302 as quickly as possible. You either need to pay any balance due within 28 days or lodge an appeal within 30 days. If you don’t take swift action, HMRC may start charging interest on the balance outstanding.
If you’d like to discuss your affairs in more detail, please contact your local TaxAssist Accountant.
By Jo Nockels
Disclaimer: Advice shared in this blog is intended to inform rather than advise. Taxpayer's circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this forum, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.