Should automatic repayments to taxpayers bank accounts not be possible, and the Personal Tax Account still be necessary to claim online, participants suggested streamlining the Personal Tax Account sign up process. Digital by default, proactive and capable withdrawers, who were digitally capable and confident transacting online, tended to automatically opt to claim their repayment via the Personal Tax Account. It's worth making sure you get back what you're owed, too. This research drew on a qualitative research methodology to gain deep and rich insights into experiences of the repayments process and to co-create new solutions. We have three options available to help you manage these changes depending on the size and nature of your business. You might also become eligible for tax relief that you couldn't claim before. Check our calendar of key self-assessment dates and deadlines and make sure you're not caught out. A HMRC dataset was used to identify taxpayers that received a repayment in June to July 2021 or December 2021 and whether they were repaid via BACS (online or phone) or via payable order. It takes a few weeks to put together a really comprehensive tax refund claim. You can also use our tax refund calculator to see how much you are due if you do make a claim. We aim to collect all the relevant information relating to your claim, get it organised and then submitted to HMRC within just 10 days of receiving your initial query. To view this licence, visit nationalarchives.gov.uk/doc/open-government-licence/version/3 or write to the Information Policy Team, The National Archives, Kew, London TW9 4DU, or email: psi@nationalarchives.gov.uk. You can register and file your own tax returns or we can assist you to do so. This service calculates all import Duty and Tax chargeable at the checkout. The main barriers to claiming their repayment via online BACS were as follows: taxpayers with low digital confidence, limited knowledge of tax affairs and poor digital access faced capability barriers such as low awareness of the repayment process, motivational barriers including a preference for the existing process due to low trust in online services, and opportunity barriers including limited access to the internet, knowledgeable and digitally confident taxpayers, who manage their finances and taxes regularly, faced an opportunity barrier whereby they did not always receive their repayment notification, digitally confident taxpayers without a thorough knowledge of tax affairs lacked motivation to persevere with the sign-up or the authentication process if they encountered any difficulties such as username and password retrieval and not having the right documents for verification, taxpayers with limited knowledge and experience of tax affairs did not always read their repayment notification thoroughly, did not engage with the detail of the letter, and often misunderstood the key messages. Here at Your Tax Refund we expedite your tax refund claim and try to get it settled as quickly as possible. Do note, while we always aim to give you accurate product info at the point of publication, unfortunately price and terms of products and deals can always be changed by the provider afterwards, so double check first. Please check our International Incident Bulletin Page for the latest service updates and advice when sending items. From case studies to how-to guides, we can help your business grow, Whether youre set up on Amazon, selling on eBay, or youve got an Etsy shop, we can help you succeed, Find the right tool to help you streamline your shipping operation, and find out what your customers want from deliveries, HMRC OSS registration portal can be found here, You can find more information about these changes here, here is further guidance provided by the UK Government on these changes, International Business Non-Personal and Personal Correspondence User Guide, Delivery Duties Paid please see our guide, UK sellers do not ask their customer for tax and duty. You have a range of IOSS options with Royal Mail. The table below excludes self-claim repayment recipients, who had proactively contacted HMRC for a repayment before a repayment notification would have been issued. Once we've got all your information, it usually takes about 4 weeks to put your claim together. If dispatching goods from Northern Ireland to EU you can use the One Stop Shop (OSS). (g) What are their experiences of their relevant repayment process? It was also important that HMRC clearly explained the reasons that an overpayment occurred. The findings in this report reflect the attitudes of participants at the time it was conducted. Participants who had experienced any issues in their repayment journey, and especially those who had called HMRC or felt confused about the reason for repayment, were more likely to feel it was important for taxpayers to have a record of the information, to be able to track the repayment in case of delay. This view contrasted with a perception among less tax savvy participants who felt the money was an unexpected bonus, viewing the repayment system as a passive savings account. Following the generation of hypotheses, a discussion guide was developed to explore in each interview contextual factors, experiences of the repayment process, suggestions for an improved repayments journey and any improvements to HMRC communication and support. Remember that you can claim for the last 4 tax years and you can make your claim at any time. The best way to speed up your RIFT Tax Refund is to get your Authorising your agent (64-8) form back to us fast. In addition, participants on a lower income preferred to have control over which bank account the money was paid into as, if the repayment was paid into an overdrawn account, they would be unable to freely access the funds. Use your Company Tax Return to tell HMRC if you think youre due a Corporation Tax refund (known as a repayment) and how you want it paid. IOSS cannot be used for excise (tobacco and alcohol) products, IOSS is available with the Non-Personal correspondence products (parcel and large letter formats), DDP is available with dedicated product codes MPR for Tracked and DE6 for Untracked, Our IOSS and DDP service can only be used when full and accurate customs information is provided such as when an approved shipping solution is used, These platforms capture and generate customs data files plus automatically create the required labels to send items abroad, Royal Mail has shipping platforms such as. The points at which taxpayers could drop out of the process were: receiving the repayment notification; their response to reading the repayment notification; or their attempt to sign in to or set up their Government Gateway or Personal Tax Account. On this page we tell you more about how PAYE tax and National Insurance deductions work. IOSS is available to all EU destinations. Additional capability barriers related to low digital skills, a lack of mental stamina to see the Personal Tax Account sign-up process through as well as low awareness of the repayment process. You can register yourself, via an intermediary, and file your own EU VAT returns. If this happens it could result in your customers being charged VAT additionally on delivery along with a small handling fee. Digital by default and proactive participants found the Personal Tax Account set-up or sign-in process to be simple, straightforward and in line with their expectations in terms of the time and effort involved. The length of time generally depends on the tax office and what type of tax refund claim you are making as naturally the more extensive and complicated claims will take longer to process. Participants who felt confident engaging online with HMRC were happy for subsequent communications from HMRC to be minimal. This can then be passed back to your customers. Every IOSS number is a total of 12 digits. Each year, HM Revenue and Customs (HMRC) issues a high volume of P800 tax overpayment notices to taxpayers. It may take anywhere up to 12 weeks for them to work through your claim and approve it, but then the payment should arrive between 3-5 workings days depending on whether you want to be paid via a bank transfer or via a cheque / payable order. COM-B was used to capture the full range of influences on behaviour, such as capability, opportunity, motivation, and to unpick what can be done to affect change. Its easy to use, doesnt require me to be kept on hold for a long time, I can do it in my own time, (BACS Personal Tax Account, 18 to 29, More than 600). These participants said that on receipt of the repayment notification, once they realised that they did not owe HMRC any money, they had only skimmed the contents of the letter and seen that inaction would still result in repayment. You can register and file your own EU VAT returns. HM Revenue and Customs (HMRC) Research Report 670. Participants who were willing to use online and mobile banking, but who were less familiar with doing so regularly, still felt this was a good option and would be interested in trying it if there were clear instructions for how to do so. It can take 8-10 weeks for the taxman to check your details and confirm your refund total, so the sooner you get us the information we need the sooner you'll have your money. Well send you a link to a feedback form. The more accurate the information we have to present to HMRC, the quicker it will all get accepted and refunded. Under the size of 381mm x 305mm Each month hundreds of payable orders issue to VAT payers are returned to HMRC undelivered, which suggests that the businesses and individuals cannot then be traced. The specific research objectives were to: Understand the experience of the current repayments journey for different types of taxpayers, including barriers and pain points that prevent taxpayers from taking up the Personal Tax Account option to claim their repayment and that may drive unnecessary customer service contact, Explore taxpayer views about what a better repayments experience could look like, considering tactical solutions and whether these would address taxpayer needs, Understand how taxpayers respond to proposed transformational solutions, Understand how taxpayers want to be communicated with and supported in order to maximise positive engagement with potential new repayments processes and services. Participants were also happy for messages to be delivered via the Personal Tax Account, seeing this as very secure and appropriate to the process. Whatever the case, it could lead to delays, returns and a poor delivery experience for you and your customers. Meanwhile, hundreds of workers from His Majesty's Revenue and Customs (HMRC) will go on strike in May and June - as it was announced midwives have voted to accept the latest NHS pay offer. Those in the proactive group noted that they would have preferred to have avoided repayment by cheque and would have gone online if they had known it was an option. HMRC will usually pay interest on your refund from either: HMRC automatically pays you the interest after they know your final Corporation Tax bill for the accounting period, which is normally when you file your Company Tax Return. The system automatically issued a payable order if a NETP was due a repayment. Participants tended not to use this language to describe their Personal Tax Account even if they had one, so did not recognise the phrase on the repayment notification letter or realise they might be able to use their existing Personal Tax Account. It should NOT then be recorded as an expense. If you include your bank details (account number and sort code) on your Company Tax Return, HMRC will automatically refund what youre owed into your bank account. Please note:For Portugal any item valued over 150.00 (i.e. These are explored in detail below, along with barriers experienced by particular taxpayer groups. An opt in or out exercise was then conducted which gave individuals in the research sample the opportunity to register their interest in taking part in the research or request not to be contacted. We monitor HMRC response times on a weekly basis and will keep you informed of the status of your refund throughout the process. Those with lower confidence and who did not feel confident or safe engaging online, specifically those with low online trust, digitally limited and members of the passive profiles, tended to want more communication and favoured a belt and braces approach: they wanted to receive an email and a letter for each stage along the journey. This experience occurred across taxpayer groups. Well send you a link to a feedback form. Across the responses to the ideas, and aligned with their suggestions for improvements, participants valued automation where possible, transparency and a lump sum payment. Want to chat to a member of our team? Universally, participants preferred the option of receiving the money as a lump sum rather than paid across the year. An underlying motivation barrier to claim repayment via BACS, common among passive repayment recipients, was inertia and the existence of a default option. Therefore, this suggestion would only impact those taxpayers who could potentially become BACS online recipients with some additional support or if the process was simplified. If you've underpaid, HMRC will explain how they'll claw the money back. HMRC has received notifications and complaints from taxpayers advising that they can no longer cash their payable orders in their country or their bank. At RIFT Tax Refunds, we'll check in with HMRC regularly during the process, provided you've signed a 64-8 Authorising Your Agent Form but you can also track your tax rebate progress using the RIFT Tax Refunds app. The number of interviews conducted by payment method were as follows: 16 interviews with taxpayers who received a repayment via a direct bank transfer (BACS), either requested via phone (3) or through accessing their Personal Tax Account (13), 21 interviews with taxpayers who received a repayment via payable order, 3 interviews with taxpayers who made a claim within the same tax year as the overpayment, referred to in this report as self-claim repayment recipients. Instead, HMRC would like to direct taxpayers to online BACS and other modern repayment methods and, at the same time, to improve the taxpayer experience of the repayments process. A cheque is easier, more straightforward. Just provide your IOSS number and full customs data in the pre-advice you send us. You can do this by using Aura from Hurricane. The more changes to the tax code system, the greater risk of something going wrong. So, what are you waiting for? Unless you prove to HMRC what you're owed, though, the taxman won't have the information he needs to settle up. It's annoying, but it's all about protecting you. The term Personal Tax Account was unfamiliar to passive participants, participants with low online trust and the digitally limited, and they instead focussed on their repayment details, disregarding the sections about the Personal Tax Account and the instructions of how to set up an account. commercial goods or gift). Consequently, HMRC were sending repayments to NETPs with the knowledge they may not be able to cash them. I spent 4 days trying to find the right documents and trying to login. Recruitment was conducted with the help of HMRC records. It should always start with IM and then be followed with 10 numbers with no spaces, e.g. What is a HMRC 'payable order'? Taxpayer contact with HMRC was limited during the repayment process. Less commonly, participants sought to avoid cheques as they had experienced issues with their postal service since COVID-19 lockdowns. HMRC systems do not currently have CHAPS functionality or the ability to store overseas bank information. Three transformational solutions were tested with participants: the option to authorise payment via taxpayers own mobile banking apps; payment into the account in which taxpayers receive their salary; and changes to tax codes. To address this issue HMRC has created a Gform that will enable NETPs to send their bank account information in order that the issue of a payable order can be avoided and a Clearing House Automated Payment System (CHAPS) payment made instead. At present, the controversial legislative quirk allows HMRC to collect more than it should by not offsetting the tax already paid by a contractor when handing a business a tax . Proactive, digital by default and capable withdrawers all expressed a preference for a higher degree of automation at HMRC. Just click something to say yes Im happy to receive this payment and thats all they had to do. Table 1 below summarises the ideal repayment process and the reasons for dropping out of the process along the journey. The preference for improved automation was associated with a desire for reduced communication, with these customer groups highlighting their desire to be informed of what they perceived to be the necessary stages of the repayments process: notification of repayment, reason for repayment and the date the repayment is to be expected in their accounts.