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Where Taxpayers and Advisers Meet

Underpayment of Tax - Advice Needed

Posts: 1
Joined: Mon Jun 24, 2019 10:39 am

Underpayment of Tax - Advice Needed

Postby m_scott » Mon Jun 24, 2019 11:56 am

I have received a few letters from HMRC who have advised that I have underpaid on tax from previous employment within the past 12 months and that it needs to be paid ASAP - The amount outstanding is close to £1,000 and whilst I am currently unemployed due to ill health, I am unable to pay this back. My previous employer took tax and NI from my salary and have never been self employed or had any dealings with owed tax before.

I have spoken to HMRC to see if a payment plan could be set up which they declined and want the amount in full. I have tried to do some research online but there isn't much in the way of clear advice but it would appear that left unresolved, I could face one or more of the following:

- Through your earnings or pension (Currently I have no earnings whilst I recover from car crash and will need to find work once recovered)
- Taking control of goods (distraint) (I have no goods of value to be recovered against the debt owed)
- From your bank or building society account (I don't have the money in my account or any savings accounts in which to pay HMRC)

The last option is the one that concerns me as it would seem the only applicable route to HMRC which is court action. I know that I can receive a fine or custodial sentance for non payment of tax but am wondering if anyone can provide me with some help as to the best course of action and the potential outcome of this for myself and HMRC?

Posts: 26
Joined: Wed Jun 19, 2019 5:04 pm
Location: Manchester

Re: Underpayment of Tax - Advice Needed

Postby hendersontax » Mon Jun 24, 2019 4:16 pm

Call TaxAid ( - they specialise in this kind of issue.

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