Changes in tax forms process

From the 1st of September 2022, acknowledgement letters were replaced by a receipt letter, confirming an option to tax notification had been received and recorded by HMRC.

From 1 February 2023, HMRC also stopped issuing options to tax notification receipt letters. Options notified to HMRC before this date will get a standard option to tax notification receipt.

These changes allow HMRC to complete notification actions more efficiently and continue to meet legislative and security obligations.

How to submit your tax forms

Now you should be sending an option to tax notification by email to: optiontotaxnationalunit@hmrc.gov.uk. 

In the subject line you’ll need to include the:

• property address, including postcode;
• the effective date of the option to tax notification.

The automated response will have the date when the notification was received by HMRC which you should keep for your records.

A notification sent any other way than by email, will not get an acknowledgement or receipt. However, HMRC will respond if further information is needed.

These changes will not impact how HMRC handles belated notifications.

Confirming the existence of an option to tax

It is the business’s responsibility to notify your option to tax and to keep such information as part of your business records. These should be kept for at least 6 years. 

HMRC will only respond if a record of an option to tax is held for the relevant property if a request is made under one of the following conditions:

• the effective opted date is likely to be over 6 years ago;
• if you’ve been appointed as a Land and Property Act receiver, or an insolvency practitioner to administer the property in question.

If these conditions are met, HMRC will ask you to provide details for the associated land or property or both. This must be accompanied by a letter or deed of appointment for your role.

The following details will be needed:

• name of the business or person who opted to tax the property;
• VAT registration number (if applicable);
• full address of the land or property in question, including postcode;
• the effective date of the option to tax, if known;
• the date you first charged VAT on the opted land or property;
• date the property was either acquired or a loan was taken out (or both) by the owner of the relevant property.

If you have a VAT group registration number, you’ll need to give the number linked to the relevant option.

For more information, please visit the official government website.