Tax Refunds -  Time Limit Changes

Whilst the time limits for HMRC to make a discovery assessment on taxpayers is broadly shortening to four years (see HMRC discovery powers - changes to time limits).  The time limits for making a claim for a repayment of tax are also shortening to a standard limit of four years (previously, broadly six).

For self assessment taxpayers, the new time limits will take affect from 1 April 2010.  For individuals outside the self assessment regime, the new limits will take effect from 1 April 2012 (this may include people who pay their income tax on earnings via PAYE, or people whose income is below the tax threshold).

There is a transitional period between 31 January 2010 and 5 April 2010 which effectively brings three tax years within the new regime by 1 April 2010.  If you are intending to make a claim for a tax refund relating to earlier years, it is therefore important you do not miss the changing deadlines in order to make sure you maximise any tax due back to you.

The new deadlines applying to self assessment taxpayers are:

Tax Year Deadline
2003/04 31.01.2010
2004/05 31.03.2010
2005/06 05.04.2010
2006/07 05.04.2011
2007/08 05.04.2012
2008/09 05.04.2013
 
The deadlines applying to other taxpayers are:

Tax Year Deadline
2003/04 31.01.2010
2004/05 31.01.2011
2005/06 31.01.2012
2006/07 31.03.2012
2007/08 05.04.2012
2008/09 05.04.2013

Posted on 27 Jan 2010