Tax - getting it right

[ufkacbln]

In April I received an email from my employer to let me know that due to an error (on their part) I had underpaid my taxation, so for the next 6 months I would be paying £90 per month to recover the underpayment

Lo and behold today I received a letter from HMRC to state that over the last tax year I had overpaid and received a £200 rebate.

So my employer is taking an extra £700 to pay for a tax bill that is £200 overpaid!!!!

I just love the tax system

 

[biggs682]

And it all makes sense ....... not

 

[toffee]

Who's to say HMRC have got it right

Have you checked yourself to see if it is correct?

 

[twentysix by twentyfive]

Employer has got it right

 

[Drago]

I love the way that you're legally liable for ensuring you're on the correct tax rate etc, yet the tax system is so complicated that even experts only specialise in a certain area of it.

 

[toffee]

I love the way that you're legally liable for ensuring you're on the correct tax rate etc, yet the tax system is so complicated that even experts only specialise in a certain area of it.

For most people though, it's pretty simple.

 

[Drago]

Its supposed to be, and usually is, but...

A Lady copper I know is still in the job, and we stay in contact. The payroll department messed up big time and for some reason informed HMRC that she had retired. She only discovered this when she received a P45 (imagine how that felt!).

Its her lawful responsibility to sort this out and ensure she is on the correct tax code. Thankfully she's getting support from the Fed, otherwise that would be a real 'mare.

 

[Markymark]

I am an unpaid tax collector for the government (vat) who gets fined and potentially put in prison if I get it wrong

 

[ufkacbln]

Friend of ours was fined for not making their payment in time.

They had a receipt from the bank, and a photocopy of the cheque, and a statement from the bank (including the date that HMRC had cashed it......yet they were still fined because they had no record!

Eventually it turned out that the cheque had been paid into the wrong account, an error by the HMRC, but it still took another 6 months to recover the fines, and no "penalty fees" for this delay, nor interest

 

[GrumpyGregry]

I am an unpaid tax collector for the government (vat) who gets fined and potentially put in prison if I get it wrong

They used to pay me to collect their VAT but then withdrew that benefit this year.

 

[Saluki]

I have just discovered that my last employer had my NI number wrong. I feel a call to HMRC coming along tomorrow I only found out yesterday

 

[Levo-Lon]

I had a tax investigation a few years ago..they went through Everything.even the wife accounts..
They had to pay me £120 quid..but the Accountant had that..and a little more.

You can have Accountant insurance for investigation But you should be able to bill HMRC when you've been honest with your S.A
And intrest should be charged to them too..fairs fair

 

[CanucksTraveller]

I've either overpaid or underpaid every single year for the last 5 years. I've just got a letter stating that I overpaid last year by 800 pounds, I'm at a loss as to how it keeps being cocked up by payroll so often.

I gather from this thread that it's legally my responsibility but (a) nobody has ever told me that in nearly 30 years of employment, and (b) there seems to be little clear guidance and if I'm honest I can't make head nor tail of it, hence my reliance on the payroll and HMRC experts to understand and apply the correct tax codes. My arrangements are made more complicated by a public pension on top of a salary which only confuses me further.

 

[twentysix by twentyfive]

I have just discovered that my last employer had my NI number wrong. I feel a call to HMRC coming along tomorrow I only found out yesterday

Aw shucks Saluks. Good luck with that one. Power to your elbow. Step at a time and lots of deep breathing

 

[Saluki]

Aw shucks Saluks. Good luck with that one. Power to your elbow. Step at a time and lots of deep breathing

Not sure where to start. My P60 has an A at the end instead of a C. I only noticed when I printed it off to use for proof of NI number