mobile: 07748 117935, VAT Informed, Independent, Indirect Tax Advice, VAT: Recovering input tax on the charging of EVs, VAT: Charging EVs ruled to be goods not services. This can then be passed back to your customers. Please check our International Incident Bulletin Page for the latest service updates and advice when sending items. As a result, they did not think it was worth the time investment or the hassle to set up a Personal Tax Account, as they would be unlikely to need to use it again to claim a repayment in the future. Automation through PAYE or payment into salary accounts was also generally supported, though there were exceptions among participants who were uncomfortable with employer involvement. The interviews were conducted both online over Zoom and over the phone to improve accessibility for participants with lower digital confidence. 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. By using IOSS, the vast majority of our delivery partners will not charge import VAT or a handling fee. Use our online tools to find out if you're owed money by HMRC. When you're owed a HMRC tax refund, it's because you've already paid too much tax. Travel to temporary workplaces is a common reason, but there are many more. The use of an established banking app provided an additional layer of trust as banking apps were regarded as secure, and participants felt that banks would also be accountable for their repayment. Views towards HMRC and the tax system also influenced motivation to reclaim online. Financially inexperienced participants (passive, digital by default) tended to like this option and see the money as a bonus as opposed to being owed to them. This experience occurred across taxpayer groups. Across the responses to the ideas, and aligned with their suggestions for improvements, participants valued automation where possible, transparency and a lump sum payment. Linked to this, those with negative experiences of fraud in the past were concerned about the authenticity of the P800 notification, especially if they were unclear about the reason for the repayment. If youve got an app, you can log into it once, you can use face ID to authenticate it, and you wouldnt have to type in your details every single time, you dont have to find the website. Well send you a link to a feedback form. As well as providing electronic data you will need to complete a customs declaration form (CN22 or CN23) for items of non-personal correspondence/goods sent abroad which must be attached to the outside of your item. Overall, participants did not want a great deal of communication from HMRC during the repayments process. If they received their P800 by an email notification asking them to check their Personal Tax Account, they were reassured that the message was secure as it was hosted within their secure account. There are 2 key limitations to keep in mind when reading this report. You can change your cookie settings at any time. 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. No parcel can be heavier than 2kg. From Monday 7 November 2022 we have changed our PDDP undeliverable process. This info does not constitute financial advice, always do your own research on top to ensure it's right for your specific circumstances and remember we focus on rates not service. VAT: Late payment interest rates increased, VAT: DIY Housebuilders Scheme deadline for claims extended. One-to-one interviews allowed for an exploration of the range of experiences, needs and circumstances in sufficient detail, and the semi-structured format meant that different participants could go into detail about the stages of the journey most relevant to their experience. For more digitally confident participants, the idea of using their own banking app aligned with their current behaviour and comfort authorising payments for other services. Participants with limited tax knowledge who read the first section struggled to comprehend a Personal Tax Account and expressed no desire in following up to get more information. You can change your cookie settings at any time. HMRC will refund the amount left after you've repaid the tax you owe, either: to the original payment card; as a payable order, to your registered company address; When HMRC will pay you interest. RIFT will handle the entire tax refund process for you from start to finish. See below for further details. Or, if you prefer to concentrate on selling, you may want to consider our assisted IOSS solutions with our partner Taxamo. While past experience of a repayment meant that participants felt more comfortable with the process, experience could serve as a motivational barrier as repeat recipients of a repayment tended towards claiming via the same method they had used before. You can reach us on the phone or Livechat. Less knowledgeable participants suggested that greater clarity about what the Personal Tax Account is and prompts to help taxpayers recognise if they already have one would be helpful. Firstly, tax codes were not well understood by participants, even among the more financially savvy, so were regarded as an opaque way to communicate about and process a repayment. As a result, tax codes were associated with HMRC error, and could be seen as the reason the overpayment had occurred in the first place. PLUS you can earn even more money while you wait for your tax refund by using the app to refer your friends to RIFT too. We are continuing to work with the Swedish Post and will provide an update once this issue has been resolved. For further information about sending Delivery Duties Paid please see our guidepdf, 4.74 MB. There was a broad expectation that processes will be slow, but also high trust that repayments would eventually be made and that HMRC acts fairly. UK Sole traders typically pay their tax bill from their business account, and as such wish to categorise it as 'Tax' or 'HMRC' or similar. Some felt that the repayment was personal information that was not appropriate for their employer to know, or worried that it placed undue burden on the employer, especially if they were in a new job and the discrepancy was unrelated to their current employers actions. There are 3 main ways in which Income Tax overpayment is administered. Secondly, some participants expressed a wide range of concerns about the involvement of their employer. However, they suggested several minor improvements they felt would streamline the repayments process. Qualitative data were analysed through a behavioural lens using the COM-B model to identify the barriers and facilitators to taxpayers claiming online via BACS. The amount of time it takes for a tax refund claim to be processed and then paid is typically between 8-12 weeks. Repayments are usually made within 30 days of HMRC getting your VAT Return. HMRC will try and pay out refunds using a payable order within 5 weeks, but it can often take a lot longer depending on their caseload and the complexity of your claim. The choice is yours. An attachment order, which lets HMRC (or its debt collectors) take possessions and goods from your business or from outside of your home. For IOSS and DDP the existing international prohibitions and restrictions apply. Under the size of 381mm x 305mm We'll tell you straight away what you're owed, It's free to find out if you have a claim. As an alternative to DDU and IOSS, we have developed a Delivered Duties Paid (DDP) service. However, less trusting participants were interested in receiving notifications at future points in the journey. EU recipient is contacted in country and pays VAT owed before receiving item, UK seller registers for VAT themselves, via an intermediary, collects VAT and completes monthly tax returns, UK seller sells through an IOSS registered marketplace, so the marketplace take on the responsibility for collecting and paying VAT on B2C items with the value of 150 or below, Allows UK sellers to collect and pay tax and duty on goods that would otherwise be paid by the customer before delivery, UK seller uses trusted partners to a) provide support in registering and completing tax returns, or b) completely take care of EU VAT compliance instead of the seller, to simplify the process for collecting and paying VAT on B2C items with value up to 150, Saves on third party costs and often uses in-house tax expertise or resources, Full and accurate electronic customs data is required for IOSS and DDP, Items without full and accurate data will be sent / delivered as DDU. A simple 'pay-as-you-go' option where Taxamo acts as the electronic interface for you - allowing you to use its IOSS number to send parcels to consumers located in the EU. When you claim your tax rebate with RIFT, our unique RIFT Guarantee means that you don't have to worry about the taxman reclaiming any of your money. You can send items of Large Letter and Parcel Format dimensions (see format specifications below). We will help you gather all the information you need, prepare and submit your claim. To help us improve GOV.UK, wed like to know more about your visit today. It must be acknowledged that there were participants who were content with the current process of waiting for a payable order and receiving letters; these taxpayers therefore may be unlikely to be reached by the solutions explored through this research. We'll keep you up to date every time the status of your claim changes and even give you an expected pay out date so you'll down when you're getting your cash. Patterns with regards to the context of respondents were used in the categorisation. The research presented here is qualitative and explores a range of views in depth. For further information about sending parcels and IOSS please see ourInternational Business Non-Personal and Personal Correspondence User Guidepdf, 2.16 MB. The most common issues encountered were username and password retrieval and not having the right documents for verification, especially among younger taxpayers or those not born in the UK. HMRC has received notifications and complaints from taxpayers advising that they can no longer cash their payable orders in their country or their bank. The main stage of the research consisted of 40 online and tele-depth interviews, including 16 BACS recipients, 21 payable order recipients and 3 taxpayers who had submitted a self-claim form. This means you will never be charged any fees you have not agreed to.There are no further fees to pay, and no hidden charges.All aftercare is included (if you need us to call HMRC on your behalf, if you have a problem you would like us to resolve with them, if your tax code needs correcting etc).Your refund is covered by the unique RIFT Guarantee which means that whatever happens, your refund stays in your own pocket and will never go back to HMRC. Participants who had successfully claimed via their Personal Tax Account previously (and had not experienced any issues), were happy to do so again, and participants who had been told about the option to claim online (by a colleague or family member) were likely to use a Personal Tax Account to claim. This section explores the findings for research objectives 1 and 2, namely the facilitators of and barriers to taxpayers claiming via BACS online, as well as participant suggestions for improving the repayments process. (e) What are the key triggers for customer support service use and the outcomes sought by taxpayers? Here are the different options at a glance to help you to decide what suits your business best. HMRC will refund the amount left after youve repaid the tax you owe, either: The interest is taxable - include it as income in your Company Tax Return. If you're claiming your tax refund through RIFT, HMRC will send a payable order to us. I would feel a bit funny, its between me and HMRC, especially if its more money. The fact that claiming online provided repayment recipients with their repayment sooner could be a motivational facilitator for doing so, though this depended on the amount of the repayment. Intl Bus Pcl Track&Sign Xtr Cmp Ctry, MP8 Dont include personal or financial information like your National Insurance number or credit card details. HMRC systems do not currently have CHAPS functionality or the ability to store overseas bank information. Following participation in the interview, participants received an incentive to thank them for their time. Upon receiving a repayment notification, taxpayers can request repayment via Bankers Automated Clearing System (BACS) through their online Personal Tax Account or over the phone. If you've paid too much tax, your P800 will explain what you have to do to get it back. (a) What do taxpayers need in relation to the repayments process including information, timeliness, ease, choice, transparency, trust? More destinations will be added in due course. As for how you get your refund, you can choose either a cheque or direct bank transfer. (BACS Personal Tax Account, 60+, More than 600). Once they give us the green light and confirm the total, we take our fee and get the money to you within 3 working days. We use some essential cookies to make this website work. 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. This section considers participants preferences in the context of specific taxpayer groups, as the process pain points and suggestions for improvement differed greatly by profile. As soon as you're happy to go forward, we'll send your claim to HMRC for approval. (f) What is their awareness of the Personal Tax Account in general and as an option for processing tax repayments via BACS? It will take only 2 minutes to fill in. A cheque is easier, more straightforward. A PO is sent to a taxpayer who makes an in-year claim (i.e. 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. You can claim a tax rebate for up to 4 years, with an average 4-year rebate with RIFT coming to 3,023. In terms of the existing repayments process, this included suggestions to use online chat bots to reduce phone waiting times, and to use facial recognition features to improve the verification process for the Personal Tax Account (more on this below). Before we can send your claim to HMRC we need the 64-8 form signed and returned to us as these confirm to HMRC that we are authorised to act on your behalf. (b) What would the ideal taxpayer repayments experience look like? However, participants were more likely to be familiar with the Government Gateway and often used this language to talk about the log-in process. Participants often assumed that HMRC had customers bank details and would be able to process payments using this information. HMRC launches 'potentially game-changing' IR35 review Proactive participants also liked simplicity and that it required minimal input from the repayment recipient. The PTA sounds complicated, just another online thing that I wouldnt particularly need. Then anywhere from several days to 3-4 weeks on top of that to receive your rebate. If we're already handling a travel refund claim for you, for instance, we'll take care of any other rebates you might be owed at the same time. It allows you to calculate and collect VAT and, if applicable, customs duties from your customer at the checkout and pay it to the EU tax authorities via Royal Mail. This model frames a persons capability, opportunity and motivation as either barriers or facilitators to a particular behaviour (Keyworth et al., 2020). Payable orders can be used when electronic payments are not possible. Some participants did not receive a repayment notification, and either: received a payable order (which was the first time they discovered they were due a repayment) or, proactively contacted HMRC to self-claim in year.