Taxpayers asked to update provisional and rounded tax return figures

As reported by ICAEW

HMRC is writing to taxpayers who included provisional or rounded figures in their self assessment (SA) tax return for 2024/25 to ask them to take action within 35 days of the date of the letter.

One of two letters is being sent. The taxpayer may also receive a follow-up SMS (text) message. 

The first letter is being sent to taxpayers who included provisional figures in their 2024/25 SA tax return and have yet to update their return for the final figures. The taxpayer is asked to check the provisional figures and amend their return by either:

• replacing the provisional figures with final figures; or

• removing the tick on box 20 of the return if the provisional figures are now final figures.

The second letter is being sent to taxpayers who HMRC suspects may have used rounded figures in their 2024/25 SA tax return. Details of the figures are provided in the letter. The taxpayer is asked to amend their return and replace any rounded figures with accurate figures.

No action is required if the figures HMRC suspects to be rounded are accurate. 

In both cases, the taxpayer is given the deadline of 35 days from the date the letter was issued to take the appropriate action. HMRC says that, if the taxpayer updates their return on time, it “won’t have to open an enquiry”.