Friday, 16 August 2013

HMRC's Debt Collection Procedures

HMRC is upping its debt collection activities and, as from mid August, will be issuing leaflets advising businesses and individuals on how to deal with HMRC debt collectors, your rights and their powers to demand payment and remove goods on the spot.

"What to expect when we visit you" explains HMRC’s powers when it arrives at premises to collect outstanding debts, and will be given to debtors when HMRC arrives at their premises.

Quote:
"We are visiting you because we have already attempted to contact you by post and/or by phone, to advise you that you owe us some money. As we have not received the amount that you owe we are now visiting you to collect payment."
For tax and NI debts, HMRC will only call between sunrise and sunset, and for VAT bills, between 8am and 8pm.

Why the distinction in timings?

Debtors facing HMRC visits can expect their goods to be seized in order to settle their debt if they are unable to pay in full. The collector is empowered to select goods from the taxpayer’s home or business, list them on an inventory form C204 Distraint notice and inventory, and then arrange for an auctioneer to take them away.

A separate version of the leaflet has been published for debtors based in Scotland, because under Scottish law HMRC does not have the right to seize goods for debt settlement.

The leaflets can be downloaded here England, Wales and Northern Ireland and Scotland 


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13 comments:

  1. Knock Knock!
    Who's there?
    A Bay!
    A Bay Who?
    A Bailiff, now open the fecking door!
    No, I have paid, your records are not up to date (no change there then) so sod off and check or I will call the Police because you are illegally harrassing me for a debt which does not exist.
    This is a form of "Trader contends payment" and comes about because the left hand does not know what the right hand has collected which is hardly surprising with the Silo mentality of HMRC "directorships" aka "workstreams". Then there will be the problems of the "bailiffs" who are probably not HMRC employees so whether HMRC "interpretation" of Taxpayer (notice they never say customer in this context) Confidentiality. I mean, how could they discuss confidential taxpayer details with non-vetted, non-official secrets act signatories from the private sector? Sorry, I forgot all about PPI!

    ReplyDelete
    Replies
    1. All Field Force Officers ARE HMRC employees, they did away with the use of private bailiffs a long time ago.

      Delete
  2. Well pay your tax then, by the time the Bailiff knocks on your door it's the end of a very long process and does not happen overnight. HMRC has a myriad of ways of collection and time to pay options available, some people sit with their head up their arse hoping it will go away, the trouble is non contact usually.

    ReplyDelete
    Replies
    1. And some people talk through their arse!

      If I thought for one minute that HMRC could ever get things right I might be inclined to agee with 00:26, but:-

      http://www.thisismoney.co.uk/money/bills/article-2336041/Shock-tax-HMRC-chases-unwitting-taxpayers-debts.html

      So, to go with a myriad ways of collection & TTP options comes a myriad of ways to get the very long process totally wrong despite Trader Contentions!

      It would appear that non contact is not the trouble at all.

      So 00:26, bend over and stick your own heas where the sun don't shine, oh sorry, its already so far up there you can't see the wood for the trees!LOL.

      There We Are Then!

      Delete
    2. Please!

      That money mail link you posted is mainly sensationalist B.S.!!!

      Delete
    3. Indeed .... the person replying to you by having a pop at HMRC is clearly someone in need of help ... most of us manage to maintain our affairs without resort to hysteria LOL

      Delete
  3. Just had a read of the aforementioned link, doesn't look like sensationalist B.S. more like reasonable reporting.
    HMRC would maintain the moon is made of green cheese even after setting foot on its surface rather than admit it got something wrong.
    Reality is, HMRCISSHITE!
    Shills are creeping out again...

    ReplyDelete
    Replies
    1. Reasonable reporting? or just something to get Mail readers frothing at the mouth!!

      Delete
    2. er no ... insecure people resorting to having a pop at HMRC are creeping out again... what are you afraid of LOL

      Delete
    3. sick and tired of getting letters by handed with this damn field force saying I owe money to HMRC..I owe them nothing as I was a single parent from 2010 to 2016. stopped my payment in 2013 and constantly getting threated by them. what do I after prove.my partner wasn't here and therefore they don`t have prove because why because he wasn't living with me.[ I NEED ANWSER. WHAT I NEED TO DO NEXT]

      Delete
    4. Go and speak to your MP.

      Delete
  4. OK, stand corrected re. Bailiffs, see:-


    HMRC's DMB change procedures for Field Force Officer

    The CIOT/ATT Working Together team has raised with HMRC’s Debt Management and Banking (DMB) team some member concerns around unannounced visits from Field Force Officers (Collectors for Debt Management). HMRC have agreed to implement some changes.





    We are pleased to say that HMRC took on board the members’ concerns that Field Force Officers were turning up at clients’ door steps unannounced and their clients were unable to verify who the officer was or able to validate the amounts outstanding with the following outcome.

    CIOT/ATT Working Together raised this as an issue through HMRC’s National Working Together Team and as a result Debt Management and Banking (DMB) hosted a workshop with several members of professional bodies and the following recommendations are now being implemented:
    •By August – HMRC will provide a facility for taxpayers/agents to verify the identity of the Field Force Officer
    •By August – HMRC will provide a dedicated line for Agents to call in stress situations when the Field Force Officer is on the door step
    •By September – Collectors will provide information for taxpayers setting out the legal rights and obligations of the taxpayer and the Field Force Collector
    •From September onwards – Field Force officers to be issued with IT which provides them with access to up to date information

    If you have any issues in connection with operation of DMB, then please send them to the CIOT/ATT at: wt@ciot.org.uk.

    Technical Team

    24 April 2013

    AND:- ***********************

    What can I do on the day?
    •In the first instance you should check who the bailiff is. If they are an HMRC officer coming to carry out distraint he/she will hold an HMRC identity card.
    •Is the bill in dispute? If so, then you should contact the HMRC office demanding payment. However, it should be noted that if you do dispute the bill then you should do it in response to the warning letters that have been sent. Sometimes the amount HMRC is seeking to collect may be under appeal. In this instance the bailiff can be asked to leave and the goods won't be distrained.
    •You could pay the money. It may be the only way to save the business.

    Alternatively, if the you feel you can pay the debt and have a viable business but need more time to put a rescue plan together then we can help. Perhaps a company voluntary arrangement where you agree to pay off a proportion of the debt over a period of 3-5 years can be used.

    or-

    •Agreed improvements to debt management processes (to be implemented from late summer/early autumn 2013). These include: ◦a dedicated ‘hotline’ specifically for agents to use only when there's a Field Force Collector at a client’s premises
    ◦new technology for HMRC’s field force so that officers on debt collection calls have up to date information

    So, it was all going quite well then?

    ReplyDelete
    Replies
    1. "Is the bill in dispute? If so, then you should contact the HMRC office demanding payment."

      lol

      Delete