Fax phased out by HMRC for SA302 tax calculations
Agents who still use faxed copies of SA302 tax calculations from HM Revenue and Customs (HMRC) as evidence of a client’s income for mortgage purposes will soon need another method.
The Council of Mortgage Lenders has been working with HMRC to define what documentation is acceptable as evidence for mortgage and loan applicants to prove their income. This will mean an end for copies sent by fax.
The Institute of Chartered Accountants in England and Wales (ICAEW) has advised its members about the new process regarding the data that should be used to certify income and how it should be exchanged.
The organisation announced that it had received an urgent email from HMRC asking them to warn members of a new development that comes into operation with immediate effect.
In the email, HMRC explained that it is no longer allowed to send certification information by fax, but will be able to continue to do so by post. The reason for ending the fax facility is to adhere to increased security measures.
The HMRC email stated: "Following changes to the Government Security Classifications fax is no longer considered a secure means of communication for certain documents."
"HMRC will no longer be able to provide copies of SA302 (otherwise known as the Tax Calculation) or the Tax Year Overview by fax, due to the type and level of customer information they include," it explained.
The Council of Mortgage Lenders members were notified by HMRC of the changes and were asked to 'cascade' the information onwards to lenders and brokers.