Loan charge and section 222 charges

3 Apr 2023

HMRC are writing to some taxpayers affected by the loan charge to send them an assessment for additional tax that HMRC believe is due for the tax year ended 5 April 2019. The letter explains that HMRC will try to collect some of the tax from their employer first. Some of these taxpayers may also be required to pay a further tax charge, known as a ‘section 222 charge’. This is explained in a schedule which HMRC are sending with the letter and assessment.  

A copy of HMRC’s letter and the schedule which is being sent with the letter are provided below.

Further information about the loan charge and section 222 charges can be found in an article on the website of the CIOT’s Low Incomes Tax Reform Group – see here.

Disguised remuneration loan charge letter enclosing discovery assessment
Disguised remuneration loan charge and section 222 charges schedule