HMRC Tax Helpline for Flood Victims

HMRC Tax Helpline for Flood Victims.

Following government announcements for tax help for recent flood victims in the North of England, HMRC launched a telephone helpline yesterday.

The government is aware that many people and businesses will be facing financial hardship following the recent floods. Businesses that are unable to trade will struggle with Corporation Tax and VAT, the self-employed will struggle with their tax bills and many individuals may also be suffering given that self-assessment returns are due in January.

In addition many people and business owners will also have had their records destroyed which clearly will be problematic in submitting accurate self-assessment returns, profit and loss accounts, balance sheets and VAT returns. No doubt negotiation will have to take place to agree tax settlement if there are no records.

The HMRC helpline number is 0800 904 7900.

• HMRC helpline opening hours are weekdays 8 AM to 8 PM and weekends 8 AM to 4 PM excluding bank holidays.

How can the HMRC helpline help you?

• Advice on tax problems you may be facing.
• Agree instalment arrangements where taxpayers are unable to pay as a result of the floods
• Agree a practical approach when you or your businesses has lost records
• Suspend debt collection proceedings for those affected by the floods
• Cancel penalties when the taxpayer has missed statutory deadlines

Comment

We are delighted that both the government and HMRC have taken such a pragmatic view. No doubt, HMRC will rely on your previous tax submission history as well as business interruption/consequential loss insurance settlements to agree tax liabilities due where records have been lost.

As far as the public are concerned it makes sense to suspend debt collection and cancel late submission or payment penalties given that many people will need time to approach employers for payment history as well as banks, building societies, share registrars, pensions companies et cetera to gather information in addition to perhaps being short of money and unable to settle tax liabilities if you have incurred additional costs for temporary rehousing yourself or your business and of course paying for emergency and upfront repairs that may not have been settled by your insurance company (if indeed you do have household insurance).