Revenue starts rolling self-assessment ball

The Inland Revenue has begun sending out the first statements of account to almost 1.6m taxpayers as part of the move to self-assessment.

The statements are not a formal assessment but a notice to remind taxpayers of the tax due. The Revenue will also send two explanatory leaflets to taxpayers, one guiding them through the statement and another for those who think their payments should be less than shown.

John Whiting, head of personal tax at Price Waterhouse, welcomed the new statements, but warned: ‘Like anything from the Revenue, these statements need to be checked. The amounts they are asking for may not be right – taxpayers can claim to reduce the amounts or there may sometimes be more due. Care is needed because interest will start to run if you don’t get the proper payments in on time.’

Accountancy firms and other taxpayers’ agents will receive different forms early next year outlining what the Revenue thinks their clients owe.