Thousands of people face paying hundreds of pounds too much tax next year, following errors in HM Revenue & Custom’s (HMRC) tax computation software for 2016-17.
Experts have blamed "horrendously complex" changes to the taxation of dividends and savings income.
According to HMRC, one of the groups likely to be affected include business owners, comprising people with annual incomes of more than £145,000 and non-dividend income of between £27,000 and £32,000. This group stands to lose up to £280 because of the software glitches.
“A very small percentage of self-assessment taxpayers who have an unusual combination of income types currently have to use paper tax returns," HMRC says in a statement to the Financial Times. "We are constantly improving our online services to make them more comprehensive and user friendly. Last year more than 9.5m people successfully submitted tax returns online.”
At Beavis Morgan, our diverse team of tax professionals are committed to ensuring that your tax reporting obligations are fully satisfied and that every opportunity to lawfully exploit tax savings is made known to you, restructuring your affairs in a tax effective and efficient way.
Our experts will also take any future hassle of dealing with HMRC away from you, so you don’t need to contact them directly. We are also able to advise on all aspects of tax whether compliance or planning.
Contact Alan Ford for further information and assistance.