If you have received correspondence from HM Revenue & Customs that informs you of either a tax repayment, or requests payment of tax, be sure to check it carefully since it has recently come to light that HM Revenue & Customs has miscalculated the tax bills of up to 100,000 people for the 2013/14 tax year (i.e. year ended 5 April 2014).
This follows news in June that over 5 million people paid the wrong amount of tax through the Pay As You Earn (PAYE) system for that tax year – despite the recent introduction of the Real Time Information (RTI) system for delivering payroll information to HMRC.
HMRC have since admitted that some of the correction notices (i.e. payment demands or refunds) that were sent to some of the 5 million people in June may also not have been calculated correctly.
Therefore, if you have received any such correspondence from HMRC be sure to check their calculations carefully prior to either cashing a repayment cheque, or paying any demand to HMRC.
If you have received a tax demand or repayment notice from HMRC and are unsure if it’s correct, or would like further information on this matter, please contact us.