Re: OT Inland revenue


"Linda Fox" <linda.ff@xxxxxxxxxxxx> wrote in message
news:0diqu290bto3t87ghm5hq7cdtpge0sq3na@xxxxxxxxxx
I filed my tax return, like a good girl, online a few days before the
deadline, and it was calculated for me by machine there and then, and
I paid the requested amount on account.

Yesterday I got a statement saying I still owed them some as a
balancing payment because I had earned more over the year in question
than they had estimated the previous year. I don't understand this:
surely that part of it is involved in the calculation? There was
nothing on the tax return for me to say how much I'd paid the previous
year, only if I had any overpaid or underpaid tax. I don't know if I
was meant to work that out - how could I? I spent half an hour talking
round in circles with a nice Scottish lady at IR and got nowhere. The
extra amount appears nowhere in the calculation, which I printed out
at the time. She said "we couldn't know you had earned more that year
than we estimated until we got your tax return" and I tried saying
that I had been quoted the figure for this year's payment on account
when they had "received" my tax return online, so by that time, they
"knew", and then I found I was back at the beginning of the circle
again.

I've got the "Which?" tax savings guide 2006-7 here. There's a couple of
pages on "Payments on Account" which sound like your case, explaining that
they don't necessarily ask for payment, and will charge you interest if
there's a deficit. There may be other relevant parts too. Would you like to
borrow the magazine? If so, just e-mail me your address (see my address
below).
--
Best wishes,

Marjorie
Reply email: mc at springequinox dot co dot uk


.

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