Taxes Consolidation Act 1997 section 990

Assessment of tax due

Section 990 enables a Revenue officer to make or amend an assessment of tax due from an employer under the PAYE system where a return is incorrect or has not been made.

• Where a return does not show the full amount of tax due for an income tax month, or no return has been made, an inspector or nominated Revenue officer may assess the total tax believed due and serve notice on the employer of the amount assessed, any amount already remitted, and the balance outstanding.
• If the inspector believes the original assessment is too low or too high, it may be amended accordingly and a revised notice served on the employer, superseding the earlier notice.
• An employer may appeal a notice of assessment to the Appeal Commissioners within 30 days; if no appeal is made or the appeal is determined against the employer, the outstanding balance becomes due and recoverable as if it were income tax charged under Schedule E.
• A statutory four-year time limit applies to making or amending PAYE assessments, running from the end of the year following the year of assessment in which the return is made, but this limit does not apply in cases of fraud or neglect, appeal determinations, post-return events, calculation errors, factual mistakes, or mutual agreements with foreign tax authorities.