Around 1,000 people affected by Post Office scandal face looming tax deadline
The IndependentFor free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. “We can reassure any postmasters struggling to meet the deadline for filing their return and paying their tax because of a late top-up payment, that any penalties and interest associated with this will be cancelled.” The Horizon Shortfall Scheme was put in place by the Post Office to compensate postmasters who, while not subject to criminal conviction, made good the apparent losses caused by the Horizon system from their own pockets. Guidance placed on gov.uk says: “If you received Horizon Shortfall Scheme compensation between 6 April 2022 and 5 April 2023 you may have to pay income tax and NICs.” Faulty Horizon accounting software made it appear as if money was missing, and ITV’s acclaimed drama Mr Bates vs The Post Office has put a fresh spotlight on the long-running scandal. The gov.uk website says: “If you have not received your top-up payment and tax advice grant from the Post Office in good time to file your return and pay your tax by 31 January, we will not charge any interest or penalties if you file your return or pay your tax late as a result.” The website says that if someone has received HSS compensation payments between April 6 2022 and April 5 2023 and has not yet been asked by HMRC to file a self-assessment tax return by January 31 2024, they should speak to its dedicated support team. Bankruptcy and claims for compensation are a complex area and we are helping claimants understand whether their bankruptcy orders can be cancelled and signposting appropriate advice Insolvency Service The Post Office is providing funding of up to £300 for independent tax advice to help postmasters in the HSS scheme to file their self-assessment tax return and HMRC said it would encourage claimants to take advantage of this.