HMRC to stop paying certain benefits to Post Office accounts
HMRC is to stop paying certain benefits to Post Office accounts from the end of November 2021. Which payments are affected and what do account holders need to do before then?
The Low Incomes Tax Reform Group (LITRG) has issued a reminder that HMRC and the DWP will stop making payments to Post Office accounts after 30 November. Recipients of tax credits, universal credit, child benefit and guardian’s allowance must provide alternative bank account information to HMRC by that date, or payments will stop. HMRC will then write to the recipient to prompt for account details before payments can resume. As this is just before Christmas, falling foul is likely to cause hardship.
If a recipient doesn’t hold an alternative account, they will need to open one with a bank, building society or credit union and advise HMRC or the DWP (or both) of the new details. If an account cannot be opened, the individual must contact HMRC for further advice ASAP.
Related Topics
-
HMRC has withdrawn Form 652. How should you notify VAT errors going forward?
-
Can paying interest to your company save tax?
You recently borrowed a substantial sum of money from your company rather than take extra salary or dividends. Your bookkeeper says it might be more tax efficient if your company charged you interest. This sounds counter-intuitive but is it correct?
-
Reverse charge and end user rules: opportunity?
If you sell construction services to other builders, you need to consider the domestic reverse charge rules. You must apply these where your customer is an end user. How might this create a cash-flow advantage?
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.