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HMRC apologises over £1bn tax bill blunder | |
(35 minutes later) | |
HM Revenue and Customs (HMRC) has apologised after sending a tax demand for almost £1bn to the owner of a cafe in Greater Manchester. | HM Revenue and Customs (HMRC) has apologised after sending a tax demand for almost £1bn to the owner of a cafe in Greater Manchester. |
Florence Coke, owner of Mama Flo's in Gorton, was sent a tax bill for £979,092,858 in March. | Florence Coke, owner of Mama Flo's in Gorton, was sent a tax bill for £979,092,858 in March. |
She said: "When I realised it was nearly £1bn I nearly fell over in the kitchen. I don't even make a wage." | She said: "When I realised it was nearly £1bn I nearly fell over in the kitchen. I don't even make a wage." |
HMRC said it had "put matters right". Ms Cooke said she had now received an amended bill of £17,000. | |
'So stressed out' | 'So stressed out' |
Ms Cooke described the original demand for Value Added Tax (VAT) issued by HMRC in Southend-on-Sea, Essex, as "threatening". | |
It stated it could seize her assets and sell them at auction or arrange for a debt collector agency to collect payment. | It stated it could seize her assets and sell them at auction or arrange for a debt collector agency to collect payment. |
She said: "I was so worried they would come and take all my stuff. | She said: "I was so worried they would come and take all my stuff. |
"I work 150 hours a week and I put everything I have into the cafe. I'm not even making a wage but I love it. | "I work 150 hours a week and I put everything I have into the cafe. I'm not even making a wage but I love it. |
"I am naive because it is my first time running a business," said the 59-year-old who set the cafe up in 2010. | "I am naive because it is my first time running a business," said the 59-year-old who set the cafe up in 2010. |
"I called them and they denied they sent the tax bill but I told them I am not a mad woman." | "I called them and they denied they sent the tax bill but I told them I am not a mad woman." |
Ms Coke said it was made much worse because her mother died and she had to rush to Jamaica for the funeral. | |
"I was so stressed out. I had two major problems and I was worrying about my cafe while I was away." | |
When she returned from her mother's funeral she received a letter of apology which she said she had accepted and a bunch of flowers from the HMRC. | |
HMRC spokesman Bob Gaiger said: "We are very sorry to hear of the problems our customer has had. | HMRC spokesman Bob Gaiger said: "We are very sorry to hear of the problems our customer has had. |
"We can't comment on individual cases but have already contacted her to apologise and put matters right." | "We can't comment on individual cases but have already contacted her to apologise and put matters right." |