A 15-YEAR-OLD boy was sent a tax demand for almost £40,000 by Revenue Jersey and threatened with the prospect of legal action if he failed to respond.
The teenager – whose identity is not being disclosed – secured a summer job, and his employer required a tax information number in order to pay him.
But, having obtained the number for the teenager, the family was shocked when he received a series of tax assessments going back to 2019, when the youngster was only 11 years old, with the demands totalling £38,816.61.
The teenager’s concerned father wants to raise awareness of the case ‘otherwise this could happen to other youngsters’.
He explained that they had managed to intercept the letter sent to their son, but he continued: ‘We just thought that if other 15-year-olds opened such a letter you might get some who did not say anything to their parents but were just very worried by it. At some point, it could have a series of unfortunate consequences.’
Revenue Jersey’s standard default notice of assessment explains that the recipient has been sent the demand because they have not completed their tax form. If they do not respond, the demand says, they will be required to pay the amount of the default estimate.
In addition to estimating the outstanding tax for the year, the default demand also imposes a £750 penalty for a ‘late’ return. It also warns: ‘If you do not submit your return, we will seek to collect this tax and you could also be subject to court action.’
The teenager’s father said that the mistake seemed to have arisen because they had been obliged to request a TIN, which they had been told was not required by a 15-year-old. However, they explained that their son’s employer had stated they would not be able to pay him without one.
‘Revenue Jersey seem to have a checking issue. They need to do something about their internal control systems, otherwise this could happen to other youngsters,’ the father said.
Richard Summersgill, Comptroller of Revenue, said he was aware of fewer than a dozen incidents where students in full-time education and working temporarily – for example, during their summer break – had been incorrectly registered under the Income Tax Instalment Scheme as full-time workers.
‘This, in some cases, has led to the incorrect issue of estimated tax assessments. We have reassured those students affected that corrective action has been taken. An apology has been offered in each case. We are also introducing additional measures to help prevent this happening in future,’ he said.
