We’ve had reports of bailffs turning up at taxpayers’ doors, demanding they settle their overdue tax liabilities by the end of that day.

This can be an incredibly scary experience and one which can be avoided provided you keep HMRC up to date with your tax situation. Before you get any visits, you should have been sent reminders requesting payment. Of course, if you’ve not told HMRC about a change of address then you probably haven’t received any correspondence but given you are required to update HMRC for these details, this is not seen as a valid defence.

The current ‘visits’ include tax payments on account relating to the 31 July due date and reports are that the bailffs demand either the outstanding money or goods to the value of the debt.  Curo’s tax partner, Julia Whelan advises, “The first thing to check is that the person knocking on your door has an official warrant – you don’t have to admit them if they don’t!”

And is the amount they are demanding correct? Have they got the right taxpayer?  

If you have received a visit from a HMRC bailiff or officer and believe they have got it wrong, speak with your tax adviser immediately. Mistakes happen but it’s still not nice to wake up to that sort of a knock on the door.

Curo November 2012.