Thursday, November 7, 2024

A Summer without the Self-Assessment Helpline: HMRC’s New Plan Under Scrutiny

A ripple of concern shudders through the UK’s small business and entrepreneur community, as HM Revenue & Customs (HMRC) unveils plans for a summer hiatus for their main self-assessment helpline

As HMRC endeavours to optimise resource allocation, the potential ramifications for taxpayers are causing a stir.

The New Plan for Self Assessment Support

HMRC, the UK’s authority on taxes, payments, and customs, announced last week its intention to transition the self-assessment helpline to a “seasonal model”. 

This move will create a summer reprieve for the helpline, enabling advisors to focus on urgent calls on other lines and answer customer correspondence more effectively.

Digital Assistance for SMEs

In lieu of the traditional helpline, HMRC proposes a digital redirection for self-assessment queries. 

Taxpayers will be guided to the department’s digital services, including online guidance, a digital assistant, and webchat, a model that is increasingly favoured by contemporary organisations.

Reopening of the Self Assessment Helpline 

As autumn descends on September 4, 2023, the self-assessment helpline plans to re-emerge, providing a robust support system in the five months leading up to the annual self-assessment deadline on January 31, 2024. 

This timeline is specifically designed to support taxpayers during the busiest period of tax filing.

Harriett Baldwin, chairwoman of the Treasury Committee, recently voiced concerns about the potential impact of this shift on taxpayers. 

Among the questions raised were whether the move is a response to staffing issues within HMRC, backlogs in other areas, or changes in HMRC’s remote working policy.

Baldwin’s letter to HMRC also questions what measures are in place should the trial result in higher-than-anticipated taxpayer detriment. 

She challenges HMRC to ensure contingency arrangements are robust and prepared for any unexpected fallout from this shift.

Justifications from HMRC 

HMRC defended its decision, citing the helpline’s seasonal usage trends. 

The self-assessment helpline, according to HMRC, experiences a significant drop in call volumes over the summer, with approximately 50% more calls received between January and April compared to June to August.

Despite HMRC’s justifications, Baldwin maintains her scepticism, urging HMRC to consider the potentially profound impacts of closing the self-assessment helpline.

Summary 

As HMRC steps into a new operational model, the onus is on them to ensure their strategy effectively balances resource allocation without jeopardising taxpayer support. 

For small business owners and entrepreneurs, this change necessitates a keen awareness and readiness to adapt to the new circumstances. 

As always, preparing well in advance of the self-assessment deadline will remain a best practice.

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