Self assessment statement says I owe 400 quid!

[Lastfreakinglegs]

I've just had something through the post saying I owe HM revenue and customs £400 for not filing a tax self assessment form by the deadline.

However I work for an organisation on a salary of 59k and PAYE. I don't claim child benefit as I'm over the 50k threshold. I have no other income. I may have got a self assessment number a few years ago before deciding it was easier to just cancel my child benefits rather than file a tax assessment every year.

Can anyone advise. I will ring them tomorrow but all the phone lines are currently closed right now.

Someone else may have used your NI number. This happened to me a couple of times. Whether by mistake or a form of fraud I don't know, but I now keep an eye on my self-assessment account (I do sporadic consulting). It's a huge faff but try not to worry, you'll sort it out.

Phew I hope its some kind of mix up. Am I right in thinking I don't need to file a tax assessment if I PAYE without any other income?

Usually once you’ve started one they expect you to continue. Did you definitely not get any child benefit this tax year? Often it can take a while to run through your tax code. Hopefully just a mix up!

My father got something similar a few weeks ago, looked really legitimate except he's retired and his pension is small, turned out to be a scam and there are lots doing the rounds, best to call HMRC directly to check before anything else

Do you have an underpayment from a previous year or have you started with a company car, medical insurance or anything like that? Have you a P11D with benefits that started during the tax year but weren't deducted from your tax code? £400 can be collected through your next year's code, there should be a box to tick to have it deducted.

Once you are registered as self employed, you are obliged to fill in a tax return until you tell them otherwise, and you will get a fine if you don’t.

Did you end up submitting that self assessment a few years ago?
I had a similar thing where I did a bit of freelancing on the side while also in a FT job which was PAYE, I completed a self assessment for the year I worked. It didn’t end up being a massive amount so they decreased my tax free allowance rather than have me pay anything directly. I let them know I had finished my self employment role and would only be PAYE after that.

The following year the tax on my wages was really high. When I called them they said they still had me down as self employed alongside my job and that’s why I’d paid more.

Is there any chance they still think you’re self employed and that’s where the estimated bill came from?

If you once opened a self-assessment account at HMRC for any reason you have to file returns by the due dates until they close it.

They won't close it automatically just because you have a PAYE job. Think about it, this is SELF assessment so they assume that you need to tell them about other income you may have over and above your job. If you don't tell them (by filing a return) you get a penalty. Them's the rules and they are pretty inflexible.

Ring them tomorrow. Explain that you never actually had any additional income and that you don't need an SA account. Ask if you can appeal the penalty(s). Although technically it doesn't sound like you have the grounds to they have actually been really flexible with appeals this year due to covid so you might get it written off. If not you'll need to pay it, sorry.

They must think I'm self employed / claiming child benefit.

Do I have to pay a fine. I'm a single parent and connot pay £400

OK thanks @HollywoodTease.

How do I close the fucking thing down, for the future. Can't believe I was trying to do the right thing a few years ago and it's bitten me on the arse.

See what they say tomorrow.
My husband had this numerous times but a phone call solved it all ( not always in our favour I might add.)

£400 is an odd number for a fine. If it's the 2019/20 return then it's not due til 31 January 2021. If it's the 18/19 return then it was due by 31 January 2020 (unless you had a later deadline) and fines for that return would now be much higher. Definitely call HMRC to check - don't click any links!

This is part of it

As others have said, because you registered and never then de-registered your are obliged to fill in a Self Assessment. Call them and explain that you no longer do any self-employed work and no longer need to complete a SA, they may cancel it, but HMRC can be pretty strict with the rules.

I was receiving similar so phoned HMRC. The woman I spoke to was fab, she closed my account and sent a letter confirming that a week later. Definitely give them a call.

They're bloody useless. I had a similar letter. They have my earnings wrong, from a company that is dissolved. I have no way of contacting the company. HMRC want proof I didn't receive that money, but cant tell me what qualifies as proof that I didn't receive that money

The fine for overdue filing for 2020 shouldn't be on, I'm pretty sure they wiped them due to Covid. Best thing to do is ring them tomorrow, if you have any underpayment, ask them to collect it through your code number over 2 years.

Ah that looks legit and looks like you had a later filing deadline than 31 January 2020 for the 18/19 return. You will need to ask HMRC to close your record (make sure they cancel 19/20 too) and appeal the penalty - call them ASAP. Good luck!

If you are in £59k you should still be claiming child benefit, especially if you have any pension contributions as they are not included reducing assessable income further.

For people in your position you are better claiming it and just paying the tax as if income reduces you are receiving the benefit

You presumably didn’t claim child benefit for 2018/19 tax year?

If you’re not claiming child benefit, why not if you can’t afford the fine? I presume you don’t earn over £60k so you’re entitled to it/a proportion. I suggest you start claiming it, why on earth not if money is that tight you child deserves it.

Definitely restart your claim unless you have high P11D benefits like a company car as you'll be entitled to a good chunk of your CB and an annual tax return is a few minutes simple admin that could effectively net you hundreds of pounds.

If you pay professional subscriptions, they're tax deductable, so that could be another gain.

Looks to me that it’s a fine for not filing a Tax Return. This £100, then becomes £400 and I believe £1000 next time. You should have de registered self employment when you went PAYE. You should be able to clear it up with a phone call and if they insist on you paying the £400, ask for it to be taken off PAYE via tax code at a small amount each week, say £5, they usually will take this.

Ringing them. Now. Been on for 10 minutes and no answer yet.

@Jangle33 because I'd have to pay £950 tax on 1,000 pounds.