Just need a little re-assurance please!

JodieR Registered Posts: 1,002 Beyond epic contributor 🧙‍♂️
I've just agreed to take on a new client - she's a relative of a very good client of mine but bless her, she's in the most horrible of situations. Her husband recently passed away very suddenly and while she's been trying to sort out the will etc it's come to light that the rental income from their 3 properties has never been declared on their tax returns. She's now beside herself with worry that 'the tax man' is going to come knocking on her door demanding thousands of pounds. The properties were purchased in 2002, 2007 and 2008 so it does go back quite a way. Luckily she's found a lot of paperwork and she's got her P60s and copies of his tax returns, so i should be able to piece most of it together.
Does anyone have any advice though on dealing with this with HMRC? I'm thinking that it's best to write to them first with a brief outline of the situation and tell them that we'll have everything in order by the end of the year. At least that way she can't be stung with a 'prompted' penalty. And I'm guessing that as the returns go back so far I'll just need to write to HMRC with details of the rental income and calculate the tax manually? Is there any any advice anyone has regarding dealing with a deceased client? Do I just get the wife to sign everything as I presume she's the executor of his estate?

There's nothing here that I'm really worried or scared about, it's just such a delicate matter and I really don't want to get anything wrong.



  • mc25
    mc25 Registered Posts: 232 Dedicated contributor 🦉
    I would definately work out how much tax is owed, then write to HMRC explaining the situation, hopefully the 1st few years there wont be alot of tax reliablity if they had to do some work to the rental properties before they started renting them out. Good luck and I hope it all goes on well.
  • Bluewednesday
    Bluewednesday Registered Posts: 1,624 Beyond epic contributor 🧙‍♂️
    Agree with mc25.

    BTW did I see an article on you in AAT magazine? it's funny as you don't look at all like I imagined you to Jodie!
  • JodieR
    JodieR Registered Posts: 1,002 Beyond epic contributor 🧙‍♂️
    thanks guys - i'm actually strangly looking forward to getting stuck into this - it feels like it's going to be like a big jig-saw where you're pretty sure most of the pieces will be there!

    and yes, that was me in the magazine - my daughter was so excited to see it she's going to take it to school for 'show & tell' haha.
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