Accounting for Tax (AFT) Return Amendments

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What happens if I have made a mistake with a submitted Accounting for Tax (AFT) return?

If you become aware of a mistake or error in an Accounting for Tax return you should make an amended AFT to HMRC for the quarter concerned. Do not try to correct a submitted AFT by way of an adjustment in a return for a later quarter.

Error includes:

  • something which ought to have been included in the return for that quarter but had not been included
  • something which ought not to have been included in the return for that quarter but had been including any overpayment of the Lifetime Allowance (LTA) charge
  • some other error had occurred in the return for that quarter.

How do I amend the Accounting for Tax (AFT) return?

You can use HMRC’s free software or 3rd Party software to amend the Accounting for Tax return. If using HMRC’s free software log in using your user ID and password select to Pension Schemes Online. You can amend the return by:

  • Selecting the ‘Accounting for Tax’ link under ‘Reporting’ on the Welcome Page. This will bring you to a summary screen listing all the AFT’s you have submitted. Select the amend link to the right of the AFT you want to amend, or
  • If you are a Scheme Administrator or a Practitioner and HMRC has been authorised to provide information to you for that scheme, you can amend the AFT by ‘selecting the scheme’ using the Pension Scheme Tax Reference (PSTR) then from the pension scheme summary page selecting the ‘Accounting for Tax’ link under ‘Reporting’.

You can also amend your return on paper, using the Accounting for Tax return APSS302 (PDF 71K). An amended return must be a complete return and include all the relevant information for the quarter, not just the amended information.

Will I get a new charge reference if I amend an Accounting for Tax (AFT) return?

No, once an Accounting for Tax return has been made for a quarter and a charge reference number has been generated, that same number will be used for any amendments.

When is the tax due on an amended Accounting for Tax (AFT) return?

If there is any additional tax due, as a result of the amendment, it is due from the same date as the tax on the Accounting for Tax (AFT) return you have amended. If it has not been paid then interest will be charged for late payment. For example

If you have an AFT for the quarter ended 30 September 2006
The tax due for the quarter ended 30 September 2006 is £5,000 and would be payable by 14 November 2006

The AFT was then amended on 31 December 2006
There is additional Tax due of £2,500. This is also payable by 14 November 2006

If it is not paid by 14 November 2006 interest will run from 15 November 2006 until it is paid.

What happens if there has been an overpayment of tax?

If the amended Accounting for Tax return results in an overpayment of tax, HMRC will repay the amount of the overpayment to the Scheme Administrator. Any repayment carries repayment interest from the later of the due date for the quarter concerned or the date of payment.