ICAEW tax faculty shared information from HMRC on the delays to repayments of overpaid tax to some tax payers under the income tax self assessment regime.
ICAEW was made aware that some taxpayers have been experiencing significant delays in receiving repayments of overpaid tax under the income tax self assessment (ITSA) regime.
The tax faculty has been advised by HMRC that this was caused by increased checks carried out to tackle fraudulent claims, such as the identification verification checks.
As a result of increasing resources devoted to processing repayments, HMRC expects service levels to improve by the end of November 2021, at which point, it has indicated that ITSA repayment related post will be actioned within 30 calendar days of receipt.
Icaew.com. 2021. HMRC provides update on income tax self assessment repayments. [online] Available at: <https://www.icaew.com/insights/tax-news/2021/nov-2021/hmrc-provides-update-on-income-tax-self-assessment-repayments> (Accessed 8 November 2021).