Taxpayers are being warned about a cunning ploy by the Inland Revenue that could lose them valuable rebates each year.
Richard Lloyd-Warne, Tax Manager at our London office, recently received a letter from the Inland Revenue congratulating him on not needing to complete a Tax Return next year.
At first Lloyd-Warne was delighted but on closer reading he found that there was a catch:
“Like hundreds of thousands of other people, my tax affairs are pretty straightforward. My PAYE tax code is based on my previous year’s earnings. I complete an annual Tax Return and generally receive a small tax rebate each year.
“The Revenue’s offer that I need not complete a Tax Return next year seems kind-hearted on the surface. It actually means they won’t need to send me the rebate that I’m entitled to receive!
“I have spoken to a number of other people in a similar situation and they have all received similar letters.
“It’s outrageous. If just 10,000 taxpayers take up their offer, it could save the government millions of pounds – as well as saving them the cost of processing the Returns!”
Lloyd-Warne believes that this is a deliberate ploy by the Inland Revenue to reduce legitimate refunds to taxpayers who are entitled to a repayment by making them an offer that is too good to miss.
His advice is to anybody who receives the same letter is to continue submitting their Tax Returns.
“I know it’s a hassle to complete but there’s a point of principle at stake here. If you are entitled to a rebate, make sure you get it. Don’t be hoodwinked by the Inland Revenue,” added Lloyd-Warne.