A client of mine received a semi threatening letter today from HMRC regarding overdue PAYE/ NI payments for 06/04/10 to 05/05/10.
After the usual long wait on the 0845 number given on his letter, I finally got through to some one.
I explained that my client pays quarterly and that there is nothing due, well low and behold, it turns out that HMRC have had numerous complaints about this and it turns out that their IT dept set up a mail shot to bring in all overdue monthly account (their new rake in as much money campaign), guess what? they forgot to set a flag on the quarterly payers and everone will probably get one.
Apart from the fact my client probably, initially thought I'd cocked up. I had to waste my time sorting it. It also make me wonder how much all thsoe uneccessary letters cost to print and post.
It looks like HMRC are keeping to their word on penalties for late payments and filing though, so take warning, I think they are taking no prisoners.
client has set up a repayment plan via the business support unit for PAYE unpaid for 2009-10, being paid over a 6 month period from April.
so far, we have had numerous letters stating amounts unpaid, not keeping to the agreement, the agreement amounts not the same as the agreed figures and the agreement re-set up twice by those lovely helpful people in India - yes, HMRC use India call centres.
on calling the local office to see what was going on, as there were no behind payments, and they said to 'just ignore the letters'!!
We all knew they were going to get tough from the start of this new fiscal year, we've had plenty of warning about it in the employer bulletins and, to be fair the government does need to rake in as much as possible as soon as possible at the moment.
I'm sure we've all explained this to all our clients in order that they can avoid interest and penalties. However, as usual, the government's IT project staff have failed to take into account the different payment periods that are available for taxpayers. Despite the millions paid out to consultants to do this work, not to mention the many highly paid staff HMRC actually employ in this area themselves, either the brief was not clear or the consultants messed up. If the consultants messed up then they should be forced to pay a sum to cover the extra costs involved, if the brief was incorrect heads should roll at HMRC. In the real topsy turvy government world, however, neither of these scenarios will happen.
Really must proof read before submitting.
-- Edited by semsley on Wednesday 9th of June 2010 02:39:14 PM
-- Edited by semsley on Wednesday 9th of June 2010 02:40:01 PM
-- Edited by semsley on Wednesday 9th of June 2010 02:40:49 PM
BackOfficeGroup wrote: ..................... said to 'just ignore the letters'!!
P
Exactly what I was told to tell my client and also to apologise on behalf of HMRC!!! Surely that is for them to do?
Hi Shiela - I agree, we all had the warnings and you are right, the treasury needs as much as it can legitimately get, and I have no problem with that.
You are also right, there will be no heads rolling (unless accompanied by a golden handshake)