The letters are being sent to agents who represent 20 or more clients where HMRC suspects that there is a discrepancy between the client’s tax return for 2022/23 and: 

• forms P14 or P11D submitted by the client’s employer; and/or
• child benefit information held by HMRC. 

HMRC says that it is sending the letters as part of its ongoing work to maintain compliance standards through working with agents. The letter is not a formal enquiry or compliance check. 

Process  

The letter explains that HMRC will call the agent in the next few weeks. Alternatively, the agent can contact HMRC using the details provided in the letter. HMRC will then give the agent details of the potential discrepancies.  

The agent should make voluntary amendments by 31 January 2025 to correct any errors. HMRC will not charge penalties, but it will charge interest if tax has been underpaid. The agent should also send HMRC a spreadsheet showing which returns have been amended and explaining why any returns have not been amended.  

If the agent does not make any voluntary amendments, HMRC will review each case and consider opening an enquiry. HMRC may also then charge penalties on any tax found to be due.  

Feedback  

If you receive one of these letters and are happy to provide feedback on your experience of dealing with it, please send any comments to richard.jones@icaew.com, so we can relay this back to HMRC who will take this into account when evaluating the success of this campaign. 

Further information 

• Issue 121 of HMRC’s Agent Update
• Example letter provided by HMRC