HMRC have commenced the reconciliation process of taxpayer’s PAYE records for 2017/18 and started to send out tax calculations where there is an overpayment or underpayment. This will usually take the form of a P800 tax calculation, but may be a PA302 simple assessment.

The ICAEW have reported that the Tax Faculty have started to receive reports of incorrect calculations. They are seeking specific details of incorrect calculations so that they can provide feedback to HMRC. Email contact details for providing feedback are available on the ICAEW website here. Comments can also be left on the site.

Problems reported include:

  • the use of estimated figures which are out of date;
  • P800 calculations or PA302 simple assessment sent to taxpayers within self-assessment; and
  • data from employers’ RTI submissions not feeding through correctly to HMRC’s records.

The news report on the ICAEW website provides an explanation as to why these errors are occurring. It is important to check all calculations received by or on behalf of clients – experience shows that it is not wise to assume that they are correct