The HMRC letter flags potential self-assessment errors in 2021-22 tax returns affecting multiple clients relating to the high income child benefit charge (HICBC) as well as P11D expenses claims and P14 end of year employee reports submitted by employers.

This follows a cross-referencing exercise to check instances where taxpayers are claiming child benefit but not paying the annual charge.

HMRC is focusing on claims for child benefit by high earners with income over £50,000 and has found mistakes relating to claims where the additional child benefit charge should have been paid.

HMRC’s agent compliance team (ACT) started sending out letters on 2 October and the campaign will run all month. HMRC stressed that the letter was not a trigger for opening a formal enquiry or compliance check.