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"We're sorry..."

Thursday 02 February 2023

"We're sorry..."

Thursday 02 February 2023


Guernsey's Revenue Service has apologised to thousands more residents after admitting errors with tax allowances and coding notices as well as social security contributions.

The department is responsible for collecting income tax and social security contributions.

Yesterday, the Revenue Service admitted it had sent out around 5,600 letters requesting payment based on incorrect social security contribution rates.

It said those letters were sent to customers over pension age mistakenly detailing their weekly liability for 2023 at the full non-employed rate of 11% (which is payable by customers under pension age), instead of the Specialist Health and Long-term care rate of 3.6%.

In a statement the Revenue Service said it is "currently amending the letters and impacted customers will receive a revised letter with the correct weekly rate, along with a covering letter apologising for the error.

"The Service apologises for this error and any concerns it may have caused customers. Since this error was identified, staff have been apologising and explaining the issue to customers who have made contact."

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Pictured: Express reported the social security error yesterday.

In response to questions from Express, the Revenue Service has also confirmed that some people had too much tax taken from their January pay.

This arose where some people - or "customers" - had not been allocated a personal allowance. The Revenue Service said this was "generally where the allowance was transferred to their spouse in their 2022 coding notice. Updated coding notices are being issued either when the customer makes contact, or as identified by the service."

It was also confirmed that "in the vast majority of cases there has not been an issue".

Where too much tax has been taken from anyone's January pay, the Revenue Service said that "a direction notice can be issued to the employer asking them to refund that amount to the employee. This is because the employer still holds the ETI deducted (not the service) until 15 April 2023, which is the deadline for submitting the first quarter employer return and the ETI."

Where coding notices are concerned, nothing has changed but some people have failed to notify the Revenue Service of any change in their circumstances - or where their circumstances have not changed. 

"In line with previous years, the 2023 coding notices are generated based on the allowances customers had in their 2022 coding notice," explained a spokesperson.

"This is because the 2022 coding notice will be more up-to-date than the latest return submitted which is likely to be for 2021. Where allowances depend on personal circumstance, for example the charge of child allowance, then customers need to advise that they continue to meet the criteria to claim that allowance, for their 2023 coding to be updated. This is not a new approach."

The Revenue Service said: "We apologise for any inconvenience this has caused customers."

Read more...

Thousands of pensioners face social security error

Progress on income tax backlog

New Tax Reference Numbers issued

Social Security contributions set to increase

Income tax/social security merger will "make life easier"

Social Security payment system "antiquated"

 

 

 

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