Tax Return Amendments

Through our extensive experience, we have been able to compile a list of the most common errors – and these happen more often than you might imagine, so don't assume that you're the first person to make a mistake!

Here are some of the most likely scenarios.

Income

• Forgotten earnings - Did you enter all the tax deducted from your income? What about a part-time job, rental property, or overseas investments?
• Miscalculated amounts - Inputting the wrong salary figure or mistaking taxable benefits can happen to anyone.
• Unclaimed deductions & expenses - Are you eligible for tax relief on work-related expenses, charitable donations, or pension contributions?

Tax Calculations

• Taxable income - Errors in calculating taxable income by overlooking dividends, capital gains, or other taxable sources can be rectified through an amendment.
• Tax rates - Applying the wrong tax rate, especially for complex income streams or multiple tax bands, can be easily corrected.
• Other figures - Mistakes in calculating National Insurance contributions, student loan repayments, or other deductions can be addressed with our support.

Personal Information

• Change of name - Have you recently changed your name or marital status?
• New address - Have you moved house or updated your contact information?
• Bank details - Did you provide the wrong bank account for your tax refund?

Capital Gains

• Incorrect sale prices - Did you accidentally misreport the sale price of an asset, leading to an inaccurate capital gain calculation?
• Acquisition cost mistakes - Overlooking acquisition costs, such as renovation expenses on a property, can inflate your capital gain.
• Relief allowance confusion - Confused about capital gains tax relief allowances, such as Principal Private Residence exemption or Entrepreneurs' Relief?

Business Expenses

• Missing eligible expenses - Are you a self-employed individual or running a business?

Adjusting claimed amounts - Did you overestimate or underestimate certain business expenses?

Amending your return can be a tricky procedure – it's essential to get this right in order to avoid potential penalties. Prescient Accounting takes the complexity out of this process to make sure that your tax return is accurate.

Our approach will depend on the type of tax return and how it was initially submitted (ie, a paper return or filed online), so here's a brief overview of how we proceed:

• Self Assessment - We'll guide you through amending your sole trader tax return online return via your Government Gateway account. We will never ask for or use your personal Government Gateway user ID and password, do not provide these details to anyone. It can be straightforward to amend your details via your self-assessment account using the options in the left-hand menu (under more self-assessment details and Tax Return Options).
• Company Tax - Our experts handle online amendments through HMRC's filing service.
• Paper Tax Returns - We help you obtain the latest self-assessment paperwork, complete them with accuracy, and ensure clear labelling ("amendment") on each page along with your unique taxpayer reference (UTR). There's a lot of confusion regarding paper returns, as HMRC had intended to phase these out, although this now appears to have been reversed. We will keep abreast of all new announcements to ensure that the rules are followed to the letter.
• Powerful Software - If you use a third-party software provider for your online tax returns, you might find that some commercial software packages don't allow you to amend a return once it's submitted. With our software, it's a fairly simple process to amend your filed tax return.

HMRC will recalculate your tax bill as per your amended tax return and advise you accordingly as to the outcome, which will be one of the following:

• Tax Refund - you can claim a refund if it transpires that you paid more tax than necessary
• Additional Tax Due - your updated bill may show that you need to pay more tax, and HMRC will let you know how much you need to pay
• No Change - your tax bill remains unchanged, and no further action is necessary

Whatever the outcome, our expert accountants are on hand to provide timely advice.

Tax return amendments are corrections made to your already submitted tax return. You might need to file one if you discover inaccuracies or omitted information that affects your tax liability.

You'll need to amend your UK tax return if you find errors, omissions, or need to update your personal or financial information after submission.

The deadline for filing a tax return amendment in the UK is 12 months after the original submission deadline.

Yes, you can amend a tax return online through HMRC's Self Assessment system, provided you originally submitted it online.

To amend your tax return, log into your HMRC account, select the relevant tax year, make the necessary changes, and resubmit the return.

If the amendment results in additional tax owed and it's filed late, you may face interest charges and penalties on the overdue amount.