“We have tried contacting you about an underpayment but you have failed to co-operate. We will take steps to recover the monies from you”.
or variations thereon
A number of clients have contacted us because they have received a letter saying something like the above. Sometimes, the letters don’t even include contact details.
If you have received one of these letters, it could be because the final 4 digits of the reference are incorrect (wrong period) or have simply paid too early! Depressingly – but unsurprisingly – HMRC’s computer does not have the common sense built into it to allocate the right payment to the right period.
If you overpaid by £1000 in month 11 and then underpaid by £1000 in month 12, you would need the common sense of an eight year old to make the necessary adjustment – and you wouldn’t get a needless, threatening letter. Unfortunately, we are not blessed with a system that has even the tiniest amount of common sense.
In conclusion – if you’ve paid, don’t be alarmed, but do make sure that you pay when necessary. You can specify the date in advance if you bank online. Make sure you have the correct reference number, too.
Please contact us if you’re still not sure what to do.