Alternatively, suspicious activity can also be reported via email - details of suspicious emails should be forwarded to HMRC’s phishing team – phishing@hmrc.gov.uk. In order to help HMRC to deal with the email as quickly as possible, details of what an individual is reporting should be included in the subject line – the example of ‘suspicious email address’ is provided. There is a reminder that HMRC will never send notifications of a tax rebate or ask for personal or payment information via email.
Any suspicious text messages should be forwarded to 60599 and will be charged at an individual’s network rate. Again, HMRC will never send notification of a tax rebate or ask for personal or payment information by text message.
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Budget 2021: Amendments to penalties for late submission and payment of tax 8 March 2021
The Government has announced that a series of changes will be made in relation to the harmonisation of interest and to penalties for the late submission and payment of tax.
The move is being made in order to ensure that the penalty regime for VAT and Income Tax Self-Assessment is fairer and more consistent. The new late submission regime will be based on points, and only when the relevant threshold is reached will a financial penalty be issued. The amount of the penalties issued will be equivalent to how late the tax that is owed is, and also to the amount of tax that is outstanding.
Interest charges and repayment interest will be changed so that VAT is more comparable to other tax regimes.
The timeline for the reforms is as follows:
• From periods commencing on or after 1 April 2022, the reforms for VAT taxpayers will come into effect • From accounting periods beginning on or after 6 April 2023, reforms for taxpayers in Income Tax Self- Assessment with businesses or property income exceeding £10,000 per year will come into effect • The reforms for all other taxpayers in Income Tax Self-Assessment will come into effect from periods beginning on or after 6 April 2024
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Deferral of Self-Assessment Late Filing Penalty and the interaction with voluntary Class 2 National Insurance Contributions 16 March 2021 HMRC has confirmed that it is aware that a number of taxpayers could potentially have paid voluntary Class 2 National Insurance Contributions (NICs) even where they have deferred filing their 2019-20 Self-Assessment tax return until after 31 January 2021. HMRC processing rules do not allow for voluntary Class 2 NICs to be included in the Self-Assessment calculation for those returns that are filed after 31 January 2021, subsequently meaning that any Class 2 NICs payments will not be linked to the deferred tax return. Where an individual is in the situation that they have paid voluntary Class 2 NICs through Self-Assessment, but filed their return after 31 January 2021, then they will receive a customer service message when they file their tax return for 2019-20 advising them that it is too late to pay voluntarily, and that they could receive a refund of the voluntary Class 2 NICs payment. Where this happens, the advice is for them to contact HMRC on the National Insurance Helpline – 0300 200 3500.
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The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
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