Compensation claim letter

If HMRC makes a mistake or is responsible for an unreasonable delay in dealing with your tax affairs, you can claim compensention for costs you incur as a result and for any distress caused.

Costs and compensation

If you have incurred costs in dealing with HMRC because it has handled your tax affairs badly you can ask for reimbursement for e.g.:

• postage and other commincations costs
• fees for obtaining documents etc.
• professional fees ,e.g. accountant, lawyer, valuer, etc.
• lost earnings or other income where they can be clearly attributed to HMRC’s mishanding of your tax affairs.

Where appropriate you can you can also ask for compensation for distress caused you by HMRC’s actions.

Making a claim

There is no special format or time limit for making a claim, although you should do so as soon as the underlying issues have been resolved. Use our Compensation Claim Letter to claim your professional and other costs plus compensation back by writing to HMRC, including time taken to prepare the claim.