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Refund of DACS-withheld UK tax for a US individual?


giphotostock
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Question about getting a UK tax refund for a US tax resident.

 

Last year DACS withheld UK income tax from our Payback amount. We tried to go through the tax relief process as described on the DACS website. Started with form 8802 sent to the IRS. Months later IRS informed us that they sent our tax status certification to HMRC in Feb 2022. Never heard anything back from HMRC and have not seen a refund. Sent a letter to HMRC in July. No response. Tried to go through the online complaint process, but could not get an account set up as it required a UK-style postal index.

 

Has anyone among the US contributors here been able to successfully navigate the process and get a tax refund from HMRC?

 

GI

Edited by giphotostock
Feb 2021-> Feb 2022
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I gave up on the whole idea when I saw the fee. I don't make a lot from DACS so I have opted to have Alamy do it. Of course, they take more than the amount of the tax but I think they also find more uses than I can. Bit lazy but I think the costs are worth it.

 

Paulette

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I haven't tried it either since, while the HMRC form is free, the IRS form was $80 a year when I checked several years ago. I make more than that from DACS, but the VAT withheld is far less than the $80 fee. 

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12 hours ago, Marianne said:

I haven't tried it either since, while the HMRC form is free, the IRS form was $80 a year when I checked several years ago. I make more than that from DACS, but the VAT withheld is far less than the $80 fee. 

HMRC helped themselves to more than 1000 GPB of our money. So we thought paying $85 to the IRS for form 8802 was worth it.

 

Could one of the many UK tax residents here comment on dealing with HMRC? Are they generally responsive or more like a black hole, everything goes in, nothing comes out? Like IRS used to be in the 70s-80s (so I heard)?

 

GI

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4 hours ago, giphotostock said:

HMRC helped themselves to more than 1000 GPB of our money. So we thought paying $85 to the IRS for form 8802 was worth it.

 

Could one of the many UK tax residents here comment on dealing with HMRC? Are they generally responsive or more like a black hole, everything goes in, nothing comes out? Like IRS used to be in the 70s-80s (so I heard)?

 

GI

I do the claim from Spain as I'm a tax resident here and HMRC is slow as can be!

Also they don't do a bank transfer instead send a letter, usually after about 3 months,(in fact I must chase them as my current claim from April is still not replied to!), telling me that they agree with my claim and I have the option to go on line and get it sent to a UK bank, but I cannot register as I'm not a UK citizen(Irish passport), although I did work in the UK for 11 years and have a valid NI number. Then I have to wait a further 6 weeks for them to issue a cheque and then I send it to a UK bank where I still have an account!!!

 

Pain in the @r5e but it is money that I'm not prepared to let go especially to the UK taxman!!!

 

Phil

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1 hour ago, spacecadet said:

Which you are about to lose, welcome to the Brexit sir?

Actually not all UK banks are dropping overseas account holders!

There seems to be some leeway.

Phil

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30 minutes ago, Ognyan Yosifov said:

 I think Irish passport holders are kind of OK in the UK in terms of some privileges ...

True, but the HMRC website won't allow me to register an account as I don't have a UK passport...

 

Phil

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Posted (edited)
17 hours ago, Phil Crean said:

I do the claim from Spain as I'm a tax resident here and HMRC is slow as can be!

Also they don't do a bank transfer instead send a letter, usually after about 3 months,(in fact I must chase them as my current claim from April is still not replied to!), telling me that they agree with my claim and I have the option to go on line and get it sent to a UK bank, but I cannot register as I'm not a UK citizen(Irish passport), although I did work in the UK for 11 years and have a valid NI number. Then I have to wait a further 6 weeks for them to issue a cheque and then I send it to a UK bank where I still have an account!!!

 

Pain in the @r5e but it is money that I'm not prepared to let go especially to the UK taxman!!!

 

Phil

Thanks.

Interesting. Are you saying that (1) if HMRC agrees to issue a refund, (2) they only transfer money to a UK bank??

1. How could they NOT agree? US-UK tax treaty provisions are pretty clear, a US tax resident is not a subject to UK VAT.

2. How that is supposed to work? Almost by definition, somebody claiming benefits of a tax treaty provisions is not a resident of UK and thus do not have a UK bank account.

 

GI

 

Edited by giphotostock
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Posted (edited)
21 hours ago, giphotostock said:

HMRC helped themselves to more than 1000 GPB of our money. So we thought paying $85 to the IRS for form 8802 was worth it.

 

Could one of the many UK tax residents here comment on dealing with HMRC? Are they generally responsive or more like a black hole, everything goes in, nothing comes out? Like IRS used to be in the 70s-80s (so I heard)?

 

GI

Looks like HMRC is a registered Almay forum member and just gave me a red downvote. Dear HMRC, could I please have that red downvote exchanged for the VAT refund. Please?

Edited by giphotostock
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4 hours ago, giphotostock said:

Thanks.

Interesting. Are you saying that (1) if HMRC agrees to issue a refund, (2) they only transfer money to a UK bank??

1. How could they NOT agree? US-UK tax treaty provisions are pretty clear, a US tax resident is not a subject to UK VAT.

2. How that is supposed to work? Almost by definition, somebody claiming benefits of a tax treaty provisions is not a resident of UK and thus do not have a UK bank account.

 

GI

 

(1-2) Yes, otherwise they send a cheque.

1. They have to agree, it just takes a long time!!!

2. You can be a UK citizen yet be financially resident in another country, therefore if a UK citizen holding a UK passport(whichever colour😉), then you can register and arrange the transfer. However in my case there is no option for me to register as an Irish citizen resident in Spain.

 

Who actually understands the machinations of any civil service body in most countries has too much time on their hands🤣

 

Phil

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On 21/08/2022 at 09:18, Phil Crean said:

(1-2) Yes, otherwise they send a cheque.

1. They have to agree, it just takes a long time!!!

2. You can be a UK citizen yet be financially resident in another country, therefore if a UK citizen holding a UK passport(whichever colour😉), then you can register and arrange the transfer. However in my case there is no option for me to register as an Irish citizen resident in Spain.

 

Who actually understands the machinations of any civil service body in most countries has too much time on their hands🤣

 

Phil

Well knock me down with a feather!!! Cheque arrived today😁 

HMRC must have read this thread 🤣

 

Phil

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