Tax returns and HMRC as an attorney
Guidance from Estate Advisory Group
Written and legally reviewed by Ramani Gill TEP, Solicitor and private client practitioner·Last reviewed 13 August 2026
The donor's tax obligations do not pause. As financial attorney, they become your job.
Getting recognised by HMRC
- Send HMRC a certified copy of the registered LPA with a covering letter, quoting the donor's National Insurance number.
- Ask for all correspondence to be redirected to you as attorney.
- For online filing, you may need to register as the donor's trusted helper or use an accountant as agent.
- Keep the acknowledgement — you will be asked for it again.
Worked example: Tom is attorney for his mother Sheila, a retired landlady with two rental flats and a self assessment history. He writes to HMRC's agent maintainer team enclosing a certified copy of the LPA and asks for an authorised agent to be appointed to handle the filing, since Sheila's accountant already has the figures. HMRC updates its records within six weeks and starts sending statements of account to the accountant, copying Tom in as attorney of record.
What to check in year one
- Whether a self assessment return is actually required.
- Marriage allowance, blind person's allowance and unclaimed personal allowance.
- Tax deducted at source on savings that should be repaid (form R40).
- Whether the donor is paying tax on a pension through the wrong code.
Who deals with what
| Task | Who normally handles it | Notes |
|---|---|---|
| Self assessment return | Attorney or the donor's existing accountant | Attorney signs and keeps the LPA reference on file |
| PAYE tax code queries | Attorney directly with HMRC | Common where a pension is taxed at the wrong rate |
| Capital gains on a property sale | Accountant, briefed by the attorney | See selling the donor's house |
| Inheritance tax planning | Not the attorney's decision alone | Needs a Court of Protection order |
Records and deadlines
You are responsible for the deadlines
Penalties for late filing fall on the donor's estate and reflect badly on you as attorney. Diarise 31 October and 31 January and keep every return with your attorney records.
When to bring in an accountant
If the donor has rental income, dividends, capital gains, or several years of unfiled returns, paying for an accountant is almost always cheaper than the risk of getting it wrong. As attorney you can appoint one and pay their fee from the donor's funds — it is a proper expense of managing the estate, not a gift, so it does not need separate authorisation. Keep the engagement letter and invoices with your other attorney records.
Common questions
Can I sign the tax return?
Yes, as attorney. Note your capacity on the return and keep the LPA reference on file.
Can I do inheritance tax planning for the donor?
No, not without a Court of Protection order. See can an attorney make gifts.
Can HMRC deal with me over the phone without paperwork?
Usually not for anything beyond a general enquiry. Expect them to ask for the certified copy of the LPA to be on file before discussing the donor's tax affairs in detail.
What happens to any tax refund?
It is paid into the donor's own bank account, never into yours, and should be recorded in your attorney accounts.
Read next
Where this fits
This page is part of Money, tax and property. The pages below take it further.
- Property & Financial Affairs LPA
The LP1F: money, bills, savings, property and everything a bank will ask for.
- Make an LPA online
The whole journey end to end: questions, documents, signing and registration.
Review and sources
Reviewed by Ramani Gill TEP, Solicitor and private client practitioner. Last reviewed 13 August 2026. We recheck fees, forms and Office of the Public Guardian guidance whenever they change — see our editorial policy.
Official sources
Ready to make your LPA?
Choose one LPA or both, then start online for £49 per LPA.
The Office of the Public Guardian charges a separate £92 to register each LPA.
This is general information about how Lasting Powers of Attorney work in England and Wales. It is not legal advice about your situation. What we do and do not do.
Published by Estate Advisory Group