If you are in a DMP and receive a letter claiming you owe income tax to HMRC, we would advise you contact your Customer Service Officer and ask them to provide you with a letter to send back to HMRC confirming your current debt solution plan and the implications this additional repayment may have on your DMP. The letter should also ask HMRC to re-consider their decision to claw back the tax based on your individual circumstances.

If HMRC still insist you must make the repayments over a 12 month period, this could affect your ability to meet your current DMP payments. For our clients in this situation we will work closely with them to lower their DMP payments until the debt to HMRC is repaid. We do have a dedicated Creditor Liaison team who will speak with your creditors if this becomes the only option.