HMRC: Reject Revenue Correction Notice with Care

• HMRC has made a correction to a taxpayer's tax return, prompting guidance on how to disagree with the change.
• Taxpayers can reject the correction themselves or authorise an agent to do so on their behalf, but must follow instructions provided in the notice.
• Evidence can be provided to support the rejection of the correction, although it is not mandatory.
• HMRC typically responds to rejected corrections within 30 calendar days.

Taxpayers should carefully review their notice and follow the instructions provided, as this will determine whether they can use the online form to reject the correction.

HMRC has made a correction to a taxpayer's tax return, prompting the need for guidance on how to disagree with the change. The revenue correction notice informs taxpayers that they can reject the correction if it is deemed incorrect. Taxpayers have the option to reject the correction themselves or authorise an agent to do so on their behalf. However, it is crucial to follow the instructions provided in the notice carefully, as this will determine whether the online form for rejecting the correction can be used. If the taxpayer has not been instructed to use this page, they should not attempt to reject the correction using the online form.

The process of disagreeing with a revenue correction notice is governed by HMRC's procedures for correcting tax returns. Taxpayers must carefully review their notice and follow the instructions provided, as this will affect their ability to use the online form to reject the correction. The rejection process involves providing evidence to support the taxpayer's claim that the correction is incorrect. While evidence is not mandatory, it can help demonstrate why the correction is wrong. HMRC typically responds to rejected corrections within 30 calendar days of receiving the form.

The guidance on disagreeing with revenue correction notices highlights the importance of taxpayers being aware of their rights and responsibilities when it comes to correcting tax returns. Taxpayers should carefully review their notice and follow the instructions provided, as this will determine whether they can use the online form to reject the correction. This is particularly crucial for tax agents who need to be authorised to act on behalf of their clients. By understanding the process and following the correct procedures, taxpayers can ensure that any errors or discrepancies in their tax return are addressed promptly and accurately.

Lawyers and compliance officers should advise clients to carefully review the instructions on their revenue correction notice before rejecting it, as this may affect their ability to use the online form to reject the correction.

Source: Original reporting via GOV.UK