Taxpayers warned they could be making tax overpayments due to system glitch/error

SuperEd 9
Found 2nd May 2017
Hey all, might be worth checking your self assessment.

It's come to light that the HMRC own online tax calculator, for self assessment, is wrong meaning people are falling into the wrong tax brackets, hence paying too much.
https://www.taxdonut.co.uk/sites/default/files/shutterstock_442834027.jpg

Two groups of taxpayers are being overcharged if they file their tax returns online. These are people who earn less than £16,000 a year – for example, from employment earnings, pension or rental income – and who exceed the Personal Savings Allowance, which is £1,000 a year for basic rate taxpayers and £500 a year for higher rate taxpayers.

The other group affected is those who have total taxable income of between £27,000 and £32,000 a year, and who also receive enough income in the form of dividends to take them over the additional rate tax threshold of £150,000.

HRMC have acknowledged the issue and said those who fall into the above categories should file paper returns and not via online (Amazing)

Hope this helps some of you!
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9 Comments
How do I check? I do mine over the phone, can I just call em or have we got to fill in loads of forms? I had an arguement with them last year as was sure my rate had been hiked up but they insisted it was correct because of the rise in minimum wage!
RossD89

Mod Vs. … Mod Vs. Mod...http://www.hotukdeals.com/misc/heads-up-tax-credits-overpayments-taken-back-without-notice-worth-checking-your-2679960Fight!


Kaboooommmmmmm
Original Poster SuperEd

ha, that's a different error - HMRC doing well as usual!


LeahMinttoutou

How do I check? I do mine over the phone, can I just call em or have we … How do I check? I do mine over the phone, can I just call em or have we got to fill in loads of forms? I had an arguement with them last year as was sure my rate had been hiked up but they insisted it was correct because of the rise in minimum wage!



Believe you have to ring them
This is why I have an accountant.
Not sure if it's related but I had a nasty shock on my most recent payslip where I went from the 1100L (or whatever it is) standard tax code to a strange K code. I'm employed, salary, no job changes, no expenses/company car/dividends/anything - just normal, standard salary and nowt else!
Called HMRC and there was an error in the system, apparently.
So that's me over £200 short - on my birthday of all days - and three weeks before we go on holiday... grr
I have been on the phone to HMRC this afternoon and they have confirm I will be getting a rebate.
They put on BR code instead of standard code taxed over three months, Phoned them and they said I had been given code as a second job! How they got that idea is a mystery as I only have the one job. Sending me a rebate for March and rest sorted through firm.
If you're due a rebate, sign in to the Government Gateway where it'll show your rebate and how to claim it. I got mine within a fortnight because I request bank transfer. It could take weeks if you wait for them to send a cheque.
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