How to deal with HMRC delays in five steps

“In this world, nothing can be said to be certain, except death and taxes,” said Benjamin Franklin.

Well, you can now experience both things at the same time, by losing the will to live while waiting interminably on the phone to HMRC’s tax office.

Over the weekend, the Sunday Times reported how millions of people who are struggling with the new tax rules face waiting a year – a whole year – to get assistance from HMRC.

A range of changes to tax policies has increased the number of enquiries that are being made to HMRC. Errors and backlogs of appeals against fines and penalties on the back of these changes are contributing to the problem.

This is a major issue because if you miss a deadline, you will be fined and/or charged interest. This, in turn, can only be challenged by contacting HMRC.

HMRC needs a radical overhaul. The process needs simplifying and more money needs to be invested in its customer relations teams. The current situation is bureaucratic and far too complicated. If you need to contact HMRC in the coming days I’ve outlined some tips to help you.

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Need to contact HMRC? Five tips for tackling delays

1. Do your preparation before contacting HMRC

In theory, your registered address should bring up all of your tax details. But not in my experience.

Before you attempt to contact HMRC, gather together all of your reference numbers. This is important because you’ll need a different number for each tax issue you complain about, like corporation tax enquires or VAT complaints, for example.

Here are some of the reference or ID numbers you might need to have to hand, depending on what you want help with:

• Tax reference number. This is made up of ten digits – three numbers followed by seven letters and numbers. Those registering to file self-assessment tax returns will have a similar number called the unique taxpayer reference (UTR).
• National Insurance number. Depending on your age, you may have a card or letter displaying this. In any case, it can be found on your payslip.
• Government Gateway User ID. This is the 12-digit number you use to access Government services.
• Employer PAYE reference number. This is your reference number if you work for a business or organisation.
• VAT registration number. For people paying Value Added Tax, this is a nine-digit number that beings with GB.

There are also a range of additional codes for employers and businesses. These numbers are the fastest way to get help once you’re through to customer services. You don’t want to wait an hour to be told your details can’t be found.

Watch out for peak times, too.

Most HMRC helplines are open from 8am to 6pm on Monday to Friday and are closed on national holidays and weekends.

The busy times are exactly when you’d expect, lunchtimes and after work, along with first thing in the morning. So try to call late morning or mid-afternoon to cut your waiting time.

Read more: How to check your tax code and what it means

2. Be nice

Tempting as it is to have a rant, you will make much more progress with HMRC staff if you explain your situation politely, and ask them to talk you through all of the options.

I find it helps to have an agenda. Write down the questions you want answering in advance just in case you forget them.

Remember that helpline staff are not mind readers. You will need to spell out what it is that you want in clear terms. Ask for written confirmation where possible and make sure you note down the name of the person you spoke to and the date and time, just in case the problem isn’t sorted out.

Read more: How to claim the working from home tax relief

3. Watch out for hidden charges when contacting HMRC

I’ve been inundated with requests for help from people who run small businesses and are struggling to pay their corporation tax or other bills.

HMRC can offer repayment plans. In order to set up one of these “time to pay” arrangements, you should have some details to hand about your finances. It pays to plan out over what timeframe you would, ideally, like to pay the tax bill.

As with any other sector, if you are in financial difficulties, HMRC will need to know a budget, how much money you have coming in or going out and what savings or investments you may have.

Bear in mind that HMRC does charge interest on many of these options, so it’s worth enquiring about any additional costs.

Read more: What is the inheritance tax threshold?

4. It may be cheaper to pay the charge, and dispute it with HMRC later

Many of HMRC’s systems are automated. This matters because if you are disputing a charge or a fine, then interest will continue to accrue while the issue is investigated. If your problem takes a year to resolve, you could rack up a great deal of interest.

I hate having to advise this, but if you can afford it, paying the money might make sense, on the understanding that you will be making a complaint and seeking a full refund.

Read more: Gifting property: what are the tax implications?

5. Explain your needs to HMRC

If you have health problems or other specific needs, financial difficulties or are in a situation that requires urgent help, spell this out when contacting HMRC. The person on the helpline may just have the discretion to assist you – or, if that isn’t the case, may be able to get you through to someone who can.

If all else fails, there are a range of numbers you can call to make a formal complaint to HMRC, depending on the tax or situation.

Make sure you’ve written down all the points you want to make and how you’d like HMRC to resolve the matter. You’ll have to chase this up though. I’m still waiting on responses to my last four grievances.

Read more: How can I reduce my inheritance tax bill?