Wages!!

never-in-doubt

BarclaysManager wrote: »

Can you provide some basis for this, please? I've never heard of individuals being inspected, especially those on PAYE and not filing Self-Assessed. Google shows nothing for this either.

Also, I don't believe HMRC would quiz a PAYE recipient over the entries on their accounts - not only is there no cause as they are already PAYE, but their is no onus, or requirement, on them to keep receipts etc. for their personal accounts.

There is no proof, they are getting confused with self employed and VAT registered companies. Individuals do not get HMRC visits - certainly not PAYE..... It would obviously be the employer who gets the visit, not a Pay As You Earn employee!

Cmmon lads, drop it now. Or at least get some facts for us? Ring a solicitor or speak to ACAS - they will all tell you the same that an employer must pay you - won't mention much about how or where they pay you cos that is common sense - they pay you however and wherever you tell them to!

td_007

BarclaysManager wrote: »

Can you provide some basis for this, please? I've never heard of individuals being inspected, especially those on PAYE and not filing Self-Assessed.

I know of someone who has had an enquiry (they came away clean). However, here are links to HMRC case worker's guidelines for tax enquires.

- who can be investigated? See first bullet point....
"All taxpayers should be aware that there is a chance of their returns being subject to enquiry"
http://www.hmrc.gov.uk/manuals/emmanual/EM0093.htm


There is also guidance on what can be looked into and great stress on proper justification on the need to look into private account details. Nevertheless, where needed....."Such records could include, for example bank or building society accounts, that is, accounts not designated as `business', including TESSAs, ISAs details of holdings of premium bonds...."

http://www.hmrc.gov.uk/manuals/emmanual/EM2220.htm

In short, HMRC can (and do) investigate individuals irrespective of being PAYE or not, plus if needed any financial document can be asked for and scrutinised (and it has been done!)

td_007

never-in-doubt wrote: »

they will all tell you the same that an employer must pay you - won't mention much about how or where they pay you cos that is common sense - they pay you however and wherever you tell them to!

Indeed the employer must pay you - and keeping in line with you next statement they could opt to pay you by cheque instead which will be made out to you. If the employer has certain payment policy, you cannot demand that you be paid in another manner unless there is a very valid justification - just saying I do not have a bank a/c so I would like the payment to be made to my partner's a/c does not make for a strong case, I am afraid.

never-in-doubt

Yet again you're getting confused - the term 'Tax Return' does not apply to PAYE!

Regards to point 1 above:

- who can be investigated? See first bullet point....
"All taxpayers should be aware that there is a chance of their returns being subject to enquiry"
http://www.hmrc.gov.uk/manuals/emmanual/EM0093.htm

You forget to add the following quote from this link:

A very small proportion of returns will be taken up for Full enquiry on an entirely random basis. These cases are randomly selected by Risk & Intelligence from across the SA population, and include both business and non-business taxpayers.

Note the word 'return' throughout? Returns are not done by PAYE employees!

Regards to note 2 above:

There is also guidance on what can be looked into and great stress on proper justification on the need to look into private account details. Nevertheless, where needed....."Such records could include, for example bank or building society accounts, that is, accounts not designated as `business', including TESSAs, ISAs details of holdings of premium bonds...."

http://www.hmrc.gov.uk/manuals/emmanual/EM2220.htm

You forget to mention this element:

Such records could include, for example bank or building society accounts, that is, accounts not designated as `business', including TESSAs, ISAs details of holdings of premium bonds, and other non- business assets where

• it is reasonable to expect that such accounts may contain information relevant to entries in the tax return and
• it is reasonable to examine that information for the purposes of checking whether the tax return is accurate.

This is the part that clearly expresses the term 'tax return' which again, are not done by PAYE employees.....

never-in-doubt

td_007 wrote: »

Indeed the employer must pay you - and keeping in line with you next statement they could opt to pay you by cheque instead which will be made out to you. If the employer has certain payment policy, you cannot demand that you be paid in another manner unless there is a very valid justification - just saying I do not have a bank a/c so I would like the payment to be made to my partner's a/c does not make for a strong case, I am afraid.

Hi

Yes mate, that's exactly what I am disputing - the employer has no say in it! You can get the cheque made to the queen if you want - it is not for them to decide. They must pay you in accordance with employment laws and this means that if they do not do this before the next pay cycle they have broken the law. Therefore they could send me a cheque payable to me, i'd return it requesting whoever's name as the payee and if they refuse i'd just send it back again - eventually they will swap it cos i'd be reminding them of the laws each time I send it back.

Why not ring HMRC tomorrow and see for yourself!

masonic

never-in-doubt wrote: »

Hi

Yes mate, that's exactly what I am disputing - the employer has no say in it! You can get the cheque made to the queen if you want - it is not for them to decide. They must pay you in accordance with employment laws and this means that if they do not do this before the next pay cycle they have broken the law. Therefore they could send me a cheque payable to me, i'd return it requesting whoever's name as the payee and if they refuse i'd just send it back again - eventually they will swap it cos i'd be reminding them of the laws each time I send it back.

Why not ring HMRC tomorrow and see for yourself!

It depends what agreement you have with your employer. If you agreed to the terms that your salary must be paid into an account in your name, then your employer has the right to hold you to that agreement. The alternative is to lie about whose account it is in the knowledge that it won't affect the payments.

never-in-doubt

masonic wrote: »

It depends what agreement you have with your employer. If you agreed to the terms that your salary must be paid into an account in your name, then your employer has the right to hold you to that agreement. The alternative is to lie about whose account it is in the knowledge that it won't affect the payments.

Exactly, not many employment contracts though will mention anything about where your salary will be paid.... they will of course mention that they will pay you into a nominated account! Have a closer look and see the differences.... (Nominated Account vs Account in YOUR Name).

We've stated all along that the name is irrelevant so it isn;t lying, if the hubby had an account and the wife never, simply change account name from Mr X XXXXX to Mr & Mrs X XXXXX. If it is a mates account, simply put your name on there!

td_007

never-in-doubt wrote: »

Yet again you're getting confused - the term 'Tax Return' does not apply to PAYE!
This is the part that clearly expresses the term 'tax return' which again, are not done by PAYE employees.....

When it come to enquiry it is a two step process for a PAYE employees:
- if you get "selected", HMRC will ask you to fill in a self-assessment tax returns form
- this self-assessment tax returns form then get scrutinised

A PAYE could also be asked to fill in tax returns for eg. if the person is in the 40% tax bracket and has other substantial income from say bank interests.
http://www.hmrc.gov.uk/taxon/bank.htm

It is therefore not necessary that a PAYE person does not have tax returns to contend with.

masonic

never-in-doubt wrote: »

Exactly, not many employment contracts though will mention anything about where your salary will be paid.... they will of course mention that they will pay you into a nominated account! Have a closer look and see the differences.... (Nominated Account vs Account in YOUR Name).

Mine says "...to a Bank/Building Society account of your choice...", but all my employer asks for is account number/sort code anyway.

We've stated all along that the name is irrelevant so it isn;t lying, if the hubby had an account and the wife never, simply change account name from Mr X XXXXX to Mr & Mrs X XXXXX. If it is a mates account, simply put your name on there!

You are still lying if you tell your employer it is your bank account and it isn't. Whether or not it's irrelevant, is, well, irrelevant.

never-in-doubt

td_007 wrote: »

When it come to enquiry it is a two step process for a PAYE employees:
- if you get "selected", HMRC will ask you to fill in a self-assessment tax returns form
- this self-assessment tax returns form then get scrutinised

A PAYE could also be asked to fill in tax returns for eg. if the person is in the 40% tax bracket and has other substantial income from say bank interests.
http://www.hmrc.gov.uk/taxon/bank.htm

It is therefore not necessary that a PAYE person does not have tax returns to contend with.

I know where you are coming from but you're taking the minority and trying to convert it into the majority! For instance your main argument regards to employees getting investigated suggests that a lot of PAYE employees do, they actually don't! It was designed for self employed and higher rated tax payers but they add PAYE to cover themselves....

It is rare and on the odd occasion you were to get investigated, the paper (audit) trail will be clearly visible and you'd be done in an hour. Self Employed however, could be there for hours and everything will be scrutinised.

A PAYE investigation would not pick up the receiving bank account; the investigation would be about the actual income not the place you send your income!