It has emerged that a number of fresh and unanticipated HMRC exclusions are impacting on current Self-Assessment Online filing. These are in addition to those we mentioned in our recent post.
Fresh HMRC exclusions for 2016/17 returns
From our alerts to, and discussions with, HMRC’s Digital team five new exclusions relating to their systems have emerged and are affecting this year’s Online Self-Assessment Filing. The software developer community are waiting for further detail on these from HMRC. In the meantime, HMRC’s Digital team have indicated they do not have time to adjust or issue a technical fix right now to software developers.
Realistically, it would also be difficult for software developers to implement and thoroughly test these effectively in the remaining days before the 31 January 2018 deadline. It’s worth emphasising that these exclusions are in addition to those in the published list HMRC released in November.
How BTCSoftware has responded
The BTCSoftware team have been working closely with HMRC to alert them to the exclusion issues we’ve uncovered in their systems. In our 2018 Self-Assessment Software release (due in February) we will build a 2017 tax return checker which will go through all of the 2017 Individual Tax returns our customers have created and highlight the returns which HMRC need to recalculate.
What can Agents do? – Advice from HMRC
If you believe you have a return which is wrong, HMRC’s advice is to file online and then pay what is due or what you think is due. If you are paying less than the official calculation it would help your case to mention this in the additional information box on the main tax return form (SA100 box 19).
HMRC has said it will re-calculate the returns in error post January 31st. If the recalculation means, as a result of the official HMRC computation being incorrect, you have paid too little tax then you will be expected to make up the shortfall but you should not be fined or be charged interest. Similarly if you have paid too much tax, you will get a refund.
HMRC believe the number of returns affected by these new exclusions will be small compared to the total number of returns submitted to them.
Self-Assessment Pre-Population API issues
In our past post we alerted agents to the technical issues HMRC was experiencing with its Pre-Population API.
By way of a recap, the API was designed to enable agents to obtain and cross-check their clients’ figures in HMRC’s new Digital Tax Accounts when submitting a return in third party software. The security measures HMRC put in place for the API included volume checks to prevent cyber-attacks flooding and bringing down the system. In recent weeks the current volumes of returns calling on data via the API were causing it to issue an Internal Server/Protocol error.
A proactive approach
BTCSoftware’s close collaboration with HMRC meant we knew about the recent planned changes the SA pre-population API well in advance of their implementation.
Unlike other Self-Assessment software vendors, we have not had to create added hassle for our customers in January with an unwanted software update in order for these changes to take effect. We had built in flexibility into our software so the API’s status doesn’t affect agent’s ability to submit a return.
If you have the correct filing information and aren’t relying on the cross-check to the Digital Tax Account for the figures, you can complete and submit the return using our software. In BTCSoftware’s SA Solution, Agents can disable the API check if they wish – either for all their clients’ return submissions, or just for a specific one.
At BTCSoftware our friendly support team have been helping agents report the protocol error to HMRC and monitoring it closely. Currently the previous pre-population technical issues appear to have been resolved.
BTCSoftware’s commitment to supporting accountants and their practices
This year’s online Self-Assessment filing season has proved significantly more challenging for Agents, Software Developers and HMRC alike. For some time, the BTCSoftware team has been diligently planning, working-through and monitoring all the related changes and their implications.
Our core focus has always been to deliver Self-Assessment software which is ‘fit and ready’ for the 2016/17 online filing. We will continue to work closely with our customers and alert, lobby and collaborate with HMRC’s Digital team over any further unanticipated developments with its Gateway.
We will continue to help and support accountants in their work for their clients.
Can we help?
For more information about how BTCSoftware’s Self-Assessment Solutions can help your practice, contact the team on Tel. 0345 241 5030 or email sales@BTCSoftware.co.uk
