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Agent angst

02 March 2010
Issue: 4245 / Categories: Forum & Feedback
After taking on a number of clients from a recently retired accountant, the agent found that tax credit claims for two clients had been calculated using the incorrect profits figures (in HMRC’s favour). The error goes back at least five years. Will the Tax Credit Office accept late claims for so many years?

I have recently taken instructions from a number of new clients following the retirement of their previous agent.

When preparing the 2009 returns it became apparent that the previous agent had advised at least two clients of the incorrect profits figures for tax credits purposes – basically no deduction was made for the gross pension scheme payments.

I have written to the Tax Credit Office with the correct information regarding profits for the past five years and have asked that the awards be corrected due to this manifest error.

The first reply received has refused to take such action indicating that the deadline for providing information for the years in question has passed and ‘the law does not allow us to change the final decision...’.

I have yet to receive a response in the second case but fear the worst.

In another case taken over from the...

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