PAYE95001 - Reconcile individual: HMRC delay: ESC A19: introduction

(This text has been withheld because of exemptions in the Freedom of Information Act 2000)

If there is a delay by HMRC in notifying a taxpayer that there is underpaid income tax, capital gains tax or Class 4 NIC, HMRC may be able to give up the arrears under Extra-Statutory Concession A19 (ESC A19) ‘Giving up tax where there are Revenue delays in using information’. Certain conditions have to be met and the full text of ESC A19 is at PAYE95005.

Throughout this guidance, the word ‘taxpayer’ (rather than ‘customer’) is used to accord with the wording in ESC A19. ESC A19 applies to underpayments and over-repayments. Both are described as ‘arrears’ in the concession, so that term is used throughout this guidance. Potential underpayments for the current year that have been notified to the taxpayer are not classed as ‘arrears’ and must not be given up.

(This text has been withheld because of exemptions in the Freedom of Information Act 2000)

SA cases

Because of the statutory time limits for filing SA returns, and the greater responsibility placed on the taxpayer, ESC A19 does not normally apply. But on those occasions where it may be considered, the general principles in the following pages apply equally.