Guidance for taxpayers who are about to be told that they owe tax for 2010/11 has been published by the CIOT’s Low Incomes Tax Reform Group.
The ‘comprehensive’ guide is designed to help taxpayers check HMRC’s calculations and challenge the figures where appropriate.
HMRC expects to write to 1.2m taxpayers between now and Christmas telling them that they have a PAYE underpayment. The average underpayment is £600. More 2m taxpayers have received repayments for the same tax year, averaging £300.
‘People receiving tax calculations from HMRC should always check they are correct, said LITRG Technical Officer Kelly Sizer. ‘In the last year, LITRG’s guidance has helped thousands of taxpayers to do just that, and to have underpayments for the tax years 2007/08, 2008/09 and 2009/10 written off, where appropriate.
‘For 2010/11, there is less cause for optimism in obtaining a write-off. But calculations should still be checked and action taken relevant to the individual circumstances. If people do owe tax, they should investigate their payment options and those on low incomes should check whether it has any effect on their entitlement to means-tested benefits.’
Guidance for taxpayers who are about to be told that they owe tax for 2010/11 has been published by the CIOT’s Low Incomes Tax Reform Group.
The ‘comprehensive’ guide is designed to help taxpayers check HMRC’s calculations and challenge the figures where appropriate.
HMRC expects to write to 1.2m taxpayers between now and Christmas telling them that they have a PAYE underpayment. The average underpayment is £600. More 2m taxpayers have received repayments for the same tax year, averaging £300.
‘People receiving tax calculations from HMRC should always check they are correct, said LITRG Technical Officer Kelly Sizer. ‘In the last year, LITRG’s guidance has helped thousands of taxpayers to do just that, and to have underpayments for the tax years 2007/08, 2008/09 and 2009/10 written off, where appropriate.
‘For 2010/11, there is less cause for optimism in obtaining a write-off. But calculations should still be checked and action taken relevant to the individual circumstances. If people do owe tax, they should investigate their payment options and those on low incomes should check whether it has any effect on their entitlement to means-tested benefits.’
