Letters are being sent out to taxpayers from the week commencing 16 January that invite recipients to correct their tax affairs, where necessary, by making a digital disclosure.

This HMRC campaign is being aimed at two specific population sets; namely those who have earned income from:

  • online marketplace sales; or
  • creating content on digital platforms.

The letters state that HMRC has information indicating that the recipient has not declared some, or all that income on their relevant tax returns. If a recipient confirms that they intend to make a digital disclosure to correct the position, HMRC will send them an acknowledgement letter. They then have 90 days from the date of the letter to work out and pay any additional tax due via the digital disclosure facility.

HMRC will accept confirmation in any of the following formats:

  • A certificate of tax position reply, with the appropriate box ticked and the certificate signed by the taxpayer.
  • A letter from the taxpayer or their authorised agent that confirms if they do, or do not need to disclose and the reason why.
  • Confirmation over the phone from the taxpayer, or their authorised agent that they need to, or do not need to disclose and the reason why.

A copy of the letter concerning online marketplace sales can be found here. The other letter is identical except that it refers to digital content creators.

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