Filing your taxes right is super important for people and companies. But even if you’re careful, you still might make accidental mistakes when doing your tax return. These mistakes can be small things you miss or bigger errors. If you don’t fix them, you could end up paying fines, extra interest, or even get in trouble with the law.
Our guide talks about fixing mistakes in your UK tax return; We’ll look at common errors, why it’s important to fix them fast and when you need to do it by. Additionally, we’ll look at how to change online and paper tax returns step by step. We’ll also talk about what to do if HMRC sends you a notice about a tax correction and what could happen if you don’t fix errors.
By the time you finish reading, you’ll know more about how to fix mistakes in your tax return.
Common Mistakes in Tax Returns
Even when we try our hardest, we can still make simple mistakes when doing our taxes. Here are some common mistakes people make:
- Wrong personal info (like name, address, National Insurance number)
- Math errors when adding up income, expenses, or deductions
- Forgetting to include some income or claiming deductions you’re not allowed to
- Using the wrong tax code or tax rates
- Not reporting money made or lost from investments
- Messing up numbers for self-employment income or expenses
These slip-ups might seem small, but they can affect how much tax you owe and your overall money situation.
Why It’s Important to Fix Tax Return Mistakes
There are several key reasons to correct errors in your tax return:
- Following Tax Rules: When you make sure your tax return is right, you stay in line with UK tax rules. This helps you avoid getting into trouble with the law.
- Steering Clear of Extra Costs: If you don’t fix mistakes, you might pay too much or too little tax. This can lead to fines, extra charges, and possible penalties from HMRC.
- Paying the Right Amount: Fixing errors means you pay the correct tax. This stops you from overpaying or underpaying.
- Feeling Relaxed: When you sort out mistakes in your tax return, you can relax. You know you’ve done your taxes right and been honest about it.
When You Can Fix Your Taxes
Remember, there are specific times when you can change your tax return in the UK. These deadlines change based on what kind of tax form it is and what’s wrong with it.
For people who do their own taxes, you have a year after the normal due date to make changes. This means if you turned in your taxes on time, you have until January 31st of the next year to fix anything or make changes.
But, if you didn’t file on time or if HMRC has already started looking into your taxes, the time you have to change your return might be longer or shorter, based on what’s going on.
If you don’t meet the deadlines, you could face fines, extra charges, and maybe even legal trouble.
How to Fix Mistakes on Your UK Tax Return Online
If you send in your tax return online, it’s pretty easy to fix errors. Here’s what you need to do:
- Sign in to Your HMRC Online Account: Go to the HMRC website and log into your personal tax account using your Government Gateway info.
- Find the Tax Return Area: After you log in, look for the part that deals with your tax returns and pick the right year.
- Check and Fix Your Tax Return: Take a good look at your tax return and spot any mistakes or things you left out. To fix it just put in the right info.
- Send Your Fixed Tax Return: Once you’ve made all the changes, give it another look to make sure it’s all correct. Then send it off to HMRC.
- Get a Confirmation and Pay Extra Tax if Needed: HMRC will go through your fixed tax return and let you know what’s changed. If you need to pay more tax, they’ll tell you how to do it.
Keep in mind that HMRC might ask for extra paperwork or explanations if you need to make big changes or fixes to your tax return. In these situations, it’s a good idea to get help from a professional tax advisor or accountant.
How to Fix Your Paper Tax Return
The process to correct mistakes is a bit different if you sent in your tax return on paper. Here’s what to do:
- Get a New Tax Form: Reach out to HMRC or check their website to get a new tax return form for the right tax year.
- Fill Out the New Tax Form: Put the right info on the new tax form. Make sure you fix any mistakes or add stuff you left out before.
- Show It’s an Amendment: Write “Amendment” at the top of the new tax form. This lets them know it’s a change to your old one.
- Tell Them Why You’re Changing It: Add a note explaining why you’re making changes. If you have proof, send that too.
- Send It to HMRC: Mail or drop off your new tax form and any extra papers to HMRC.
- Wait for HMRC to Confirm and Pay Extra Tax if Needed: HMRC will look at your changed tax return and let you know what’s different. If you need to pay more tax, they’ll tell you how to do it.
Make sure you keep all the emails and papers about your changed tax return in a safe place.
What to Do When HMRC Sends You a Tax Correction Notice
Sometimes, HMRC might find mistakes in your tax return and send you a notice to fix them. They call this a “Notice to Correct.” This notice points out the errors or things you forgot to include. It gives you a chance to make things right.
If HMRC sends you a tax correction notice, you need to act fast and do what they tell you. Here’s what to do:
- Look at the Notice Closely: Read the whole tax correction notice and get what mistakes HMRC found.
- Get Your Papers Together: Find any documents or proof that backs up your side or explains the errors HMRC pointed out.
- Answer the Notice on Time: HMRC will give you a due date to respond to the tax correction notice. Make sure you reply by this date to avoid getting in trouble or facing more problems.
- Fix the Mistakes or Explain Why You Disagree: If you think HMRC is right about the errors, fix them and send in a new tax return. If you don’t agree, tell them why and show them proof to back up what you’re saying.
- Wait for HMRC to Get Back to You: They’ll look at what you sent and tell you what to do next.
Keep in mind, if you don’t answer their notice or give them wrong or incomplete info, you could end up getting fined, owing extra money for being late, and maybe even get in trouble with the law.
Fines and Extra Charges for Mistakes You Don’t Fix
If you don’t fix mistakes in your taxes or ignore HMRC’s correction notices, you might get fined and charged interest. How bad these fines and charges are depends on what kind of errors you made, or how big they are, and why they happened.
Here are some fines and interest charges you could face:
- Late Filing Fines: You could get fined if you don’t file your tax return or fix it by the due date.
- Inaccuracy Fines: If you turn in a tax return with wrong info, whether you meant to or just weren’t careful, you might have to pay inaccuracy fines.
- Interest Charges: You might have to pay interest on any unpaid taxes if you made mistakes on your tax return that led to underpaying.
- Bigger Fines for On-Purpose Mistakes: HMRC could hit you with harsher penalties if they think you messed up on purpose. In bad cases, you could even face criminal charges.
It’s important to fix any errors on your tax return right away and to dodge these fines and extra charges. If you’re not sure what might happen or need help fixing mistakes, it’s a good idea to talk to a professional – like a tax expert or accountant.
Getting Help from Pros to Fix Tax Return Mistakes
Fixing mistakes on your taxes might seem easy, but sometimes it’s smart to ask for help and avoid further mistakes. Here are some times when you might want to talk to a tax expert:
- Tricky Tax Stuff: If your taxes involve complicated money setups, business rates, or taxes from different countries, getting advice from a tax pro can make sure your fixes are right and follow the rules.
- Big Mistakes or Left-Out Info: If the mistake has been quite sizeable or you forgot to include important stuff on your taxes, a professional can help you figure out how to fix it and maybe avoid paying extra fees or interest.
- Disputes with HMRC: If HMRC sends you a tax correction notice and you don’t agree with what they say, a tax expert or accountant can help you make a strong argument and stand up for you.
- Not enough know-how or self-assurance: If you’re not sure about filing or your taxes, or you don’t feel confident, talking to a tax expert can make you feel better and make sure your tax return changes are done right.
Tax experts, like accountants, know a lot about tricky tax laws and rules. They can give you good advice, lower risks, and make sure your tax return changes are correct and follow the rules.
To wrap up: Getting future tax returns right
Fixing mistakes in your UK tax return is important to stay on the right side of tax laws and avoid getting hit with fines or extra charges. By knowing what common slip-ups are, following the right steps to change your tax return, and dealing with errors , you can make sure your tax paperwork is spot-on and keep things good with HMRC.
Going forward, it’s key to learn from past blunders and come up with ways to stop future mistakes in your tax returns. This might mean getting help from a pro using tax software, or giving your tax returns a good once-over before you send them in.
Keep in mind getting your tax paperwork right and being upfront aren’t just things you have to do by law. They also help your overall money situation and give you peace of mind.
Jason Cannon
Managing Director and Figures UK Founder
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