Dealing with HMRC can often be challenging. Long wait times when phoning for help, incorrect refund amounts, errors in tax codes and other issues are frustrating. In recent months and years we’ve all noticed a dramatic decline in service standards from HMRC, but frustrated taxpayers should be aware that they can complain about HMRC and even receive compensation.

What are your rights?

HMRC has a Charter that outlines the standards of service you should expect to receive from them. They promise to get things right, make things easy, be responsive, treat you fairly, be aware of your personal situation, respect your wish to have someone else deal with them on your behalf, and keep your data secure. (https://www.gov.uk/government/publications/hmrc-charter/the-hmrc-charter)

If you can understand these rights it will help you to more clearly articulate how HMRC may have fallen short.

Keep clear records!

I know we say this all the time but it’s always a good idea to keep a detailed record of all of your interactions with HMRC. Keep a note of the dates, times, and names of any HMRC representatives you deal with, as well as the substance of any conversation you have with them.

Letters, emails and other documents they send you should also be kept as they will support your case.

Contact HMRC

Start by contacting HMRC directly to try and resolve your issue. This can be done by calling their customer service or using their online services. Explain the problem clearly and provide any relevant details. If they don’t resolve the issue to your satisfaction, then you can ask to escalate the complaint.

Submit a formal complaint

To do this you can either write a letter or fill out the complaint form that is available on the HMRC website. You should attach any relevant information or evidence that supports your claim.

Be clear on what outcome you are looking for. Tell them whether you want an apology, for them to correct an error or compensation.

Seek compensation

If you have lost out financially because of HMRC’s error or poor service, then you can request compensation. Specify the amount you want and justify why you believe you deserve it.

Compensation can cover costs such as professional fees that you’ve had to pay to resolve the issue, or it could be interest on money that is owed to you.

Further steps

If necessary, your complaint can be escalated to the Adjudicator’s Office, who will make an independent investigation, or even your Member of Parliament (MP).

Tips to improve your chances

• Be clear and concise: Clearly outline your complaint and the resolution you seek. Avoid unnecessary details that can cloud the main issues.

• Stay calm and professional: While it can be frustrating dealing with bureaucratic processes, staying calm and professional can help your case be taken more seriously.

• Follow up: Don’t hesitate to follow up if you don’t receive a timely response. Persistence often pays.

• Know your deadlines: Be aware of any time limits for filing complaints or seeking compensation.

Following these steps and being well-prepared, you can increase your chances of resolving issues with HMRC and receiving any compensation due.

How can we help?

We do our best to make sure that HMRC fulfil their end of the Charter when dealing with our clients, but when things go wrong, it’s often difficult for us to complain on your behalf as HMRC prefer to deal direct with taxpayers in these cases. We’re always happy to help where we can though, so please get in touch if you’d like to discuss any such issues, and we’ll do our best to help!