HMRC telling me I owe £70

[c0nfused]

Hi,

I have received a letter from HMRC today saying I owe them money through paying too little tax during 2015-2016.

I have not been in employment since December 2014, I resigned at the end of that month and became a SAHM after a years Mat leave and holiday entitlement tagged on.

I have not earnt any money at all since then, my husband works full time and we live on his wage with only child benefit, we claim nothing else.

This is the first I have heard of owning any tax.

WTF?

We can't afford to pay that much in one go as a one wage family. Does any body know what will happen next? They said to just wait for a letter with further information and there is no need to phone them.

You can select the overpayment option if you do phone them. They will tell you how it has happened. The letter to make payment is weeks away and you can pay back in instalments. .

There is a need to phone them if you weren't in employment or didn't submit a self assessment tax return for that period as if that is the case it is impossible for you to owe tax, so phoning is perfectly reasonable.

www.gov.uk/government/organisations/hm-revenue-customs/contact/self-assessment

The self-assessment tax helpline are genuinely helpful (surprisingly!) - and if you have your NI number will be able to tell you what it is for. Alternatively if it is tax credits not tax then that could be the confusion - or it is a scam (in which case again they will be able to help/clarify).

Thank you that's really helpful I will give them a call today 😊

It could be an underpayment that has been hanging around since an earlier year. These get "brought forward" and if they can't be collected through a tax code because the person has no job (like you) HMRC asks for full payment. However, if you genuinely can't pay it in one go they might let you set up a plan.

Alternatively, it's an error! Hope so.

How did it go talking to HMRC? I need to make a similar phone call!

I phoned and they said it is from 2013 when I was working. She was a little arsey that I was "only just getting in touch".

I said I don't mind paying now I know about it because that it is from a time I was working that clears up the confusion. I said the money taken by PAYE is not something I can control and if they haven't bothered to write to me to inform me they undertook tax in l that time there is little nothing I could do.

She mumbled something about a previous letter so maybe something went missing in the post but they can't have gone to much effort to chase me as I have not moved house or changed phone number in this time.

Anyway, she asked for the full amount and I said it wouldn't be possible so she transferred me to the Hardship Dept and I spoke to a lovely lady who arranged a direct debit for £10 a month which I am fine with

Thanks for the update and to Treetop too, very useful information!