HMRC limits online correction rejections to notices citing its form

HMRC’s online revenue-correction rejection form is available only where the taxpayer’s notice directs them to the relevant guidance pageGOV. Taxpayers and agents should follow the instructions on the correction notice, rather than assume that this online route is available for every correction. HMRC has added this restriction both to the opening guidance and to its instructions for using the form.

The named taxpayer can reject a correction, or an authorised agent can act for themGOV. An agent must be authorised to act on the client’s behalf. For notices directing users to the form, HMRC asks for the taxpayer’s National Insurance number. Users also need the reference number from the notice. The reference may begin CFSS, VCSO or LIVAAS, or may be the taxpayer’s Unique Taxpayer ReferenceGOV. Users also need their name, postal address, email address and telephone number.

The form asks which tax the rejection concerns and requests a reason if possible. Supporting evidence is optional. HMRC gives payslips, P60s, invoices and Construction Industry Scheme deduction statements as examples that may help demonstrate why a correction is wrong. The guidance says HMRC will usually respond within 30 calendar days of receiving the form.

For personal and trustee returns, the section 9ZB rejection period runs from the issue date of the correction noticeLegislation. For those corrections, rejection must be notified to the officer who issued the correction before the end of 30 days beginning with the correction notice’s issue dateLegislation. HMRC’s Self Assessment Manual says the rejection must be in writing and can be accepted from an agent acting for the taxpayer.

The legal effect of a valid section 9ZB rejection is also distinct from HMRC’s administrative response. The online guidance says HMRC will remove a correction if it agrees with the rejection and may carry out further checks if it disagrees. Section 9ZB itself provides that a correction is of no effect when the person whose return it is gives notice rejecting it within the prescribed requirements. HMRC’s Self Assessment Manual instructs staff to reinstate the taxpayer’s original figure if the taxpayer considers the repair wrong and rejects the correction.

The relevant statutory provisions for personal and trustee returns are sections 9ZB(4) and 9ZB(5) of the Taxes Management Act 1970.