HMRC has apologised for fining a homeless man for failing to complete his tax return on time.
Krzysztof Pokorowski, a self-employed electrician, was hit with penalties totalling £1,600 for failing to file his 2014-15 tax return by the due date. Reminders were sent to his last known address – but by the time the letters arrived, he was sleeping rough.
The department’s decision was described as a “scandal” by a tribunal judge at a hearing in December, who found that Pokorowski should not be penalised for missing the deadline and called for a ruling review.
Judge Nicholas Aleksander, who heard the case, said: “HMRC’s decision to pursue Mr Pokorowski for penalties in the circumstances of this appeal is a scandal. For HMRC to expect a homeless person to keep HMRC up-to-date with their address is ridiculous – and just needs to be stated to show its absurdity.”
HMRC confirmed to HuffPost UK that it “held its hands up” to the error, had written to Pokorowski and is looking into redress.
A spokesperson said: “We are sorry that this case came to court and we apologise to Mr Pokorowski.
“We know that people often need additional help and support from us and we are committed to delivering that while being considerate and sensitive to individuals’ circumstances.”
According to the judgement, Pokorowski begun to fall upon hard times on his return from a trip to Poland in April 2014.
After losing his home, he ended up sleeping on the street until December 2016. He was then informed about a homeless shelter and, from there, moved into a hostel in January 2017.
In April of that year, the former electrician found a job and permanent accommodation, and he filed the tax return around 12 weeks later.
A fee of £100 is payable for late tax returns and the amount increases after six and twelve months – but HMRC can apply special consideration in extenuating circumstances.
The department initially argued that Pokorowski’s situation did not qualify for this, because it was his responsibility to notify it of any change of address.