MSE News: Tax chaos Q&A: How to fight HMRC demands

CLAPTON

cymruamb wrote: »

hi my OH is a retired police officer with a pension and a second job. We made the common mistake of no notifying tax man of 2 incomes and had to pay back tax. OH changed jobs and we notified taxman of 2 incomes, 1 charged at 40%, 1 at lower rate.
OH has just had letters saying he owes over £2,000 from 2008/9 amd 2009/10. is there anything that we can do?
To all the cynics etc on the site, we had told tax man of 2 incomes, 1 was being paid at higher rate so as far as we knew we had done everything right.

does he actually owe the tax man anything?
have you checked the numbers?

cymruamb

I'll have to wait till OH goes to work on Monday as he doesn't bring any paperwork home! I'll post again then.

cymruamb

Having looked at his 2 P60s I think the sums add up, though there is money for an Oyster card included, which is only ever used for work.

I still don't see how we can be held fully liable when the inland revenue were informed of both jobs, approximate income etc

Roostermades

hi im new to this so please bare with me...my partner has just recieved her p800 stating she owes 1000 pound in unpaid taxes from the year 2007/2008. she is now in a position where she is unable to pay that amount - she only earns £200 a month due to looking after our little boy. she did work full time earning £17000 2008-2009 however she had to go on maternity leave in march 2009 and has been part time since. i have contacted HMRC and they have stated they never recieved any p45s from the year 2007-2008 when she worked 2 jobs even though she certain she filled them out. i have contacted her two employers from that year, one of them has faxed over her details saying that she earned 3300 in 3 months paying £247 tax on a tax code of 487L. they also faxed me a copy of p6(T) from HMRC saying her tax code is amended to 487L. I am still awaiting details from her second employer. my point is is that the HMRC have had 3 years to take the money from her but now we are hit with a bill when she earns very little (they could have taken it when she earned a full time wage) she believed that all her taxes were in order and she had filled out her relevant p45s etc. what can i do about this or is it a matter of me paying it??? please help

Mikeyorks

Roostermades wrote: »

i have contacted HMRC and they have stated they never recieved any p45s from the year 2007-2008 when she worked 2 jobs even though she certain she filled them out.

You need to ascertain the full facts first. A P45 is the document completed by an employer when an employee leaves .... not something the employee completes?

You need to collate all the pay / tax details for 07-08 from her P60s (and any P45s .... if she did switch jobs) and check that back to the P800 figures.

peteg1935

Hi

i am a retired pensioner with an income of 7K from CIS pensions plus the state pension. I had originally received a p800 for 2008-09 showing tax due of £800 ish. I wrote and asked how this had arisen as i retired over 10 years ago and my income sources had not changed at all. I have now received P800's for 2007-08, 2008-09 and 2009-10 saying I owe £2865 and this will be collected via my code next year.
Does anyone think I can contest this as it appears to me that either HMRC or CIS have messed it up and this is alot of money to be asked to repay from my income.

Thanks

Mikeyorks

peteg1935 wrote: »

Does anyone think I can contest this as it appears to me that either HMRC or CIS have messed it up

Not without some detail? Post the figures from your P800s (income / tax / personal allowance) and also from your P60s for those years (income / tax / Code numbers). Also add your current age?

Pennywise

peteg1935 wrote: »

Hi

i am a retired pensioner with an income of 7K from CIS pensions plus the state pension. I had originally received a p800 for 2008-09 showing tax due of £800 ish. I wrote and asked how this had arisen as i retired over 10 years ago and my income sources had not changed at all. I have now received P800's for 2007-08, 2008-09 and 2009-10 saying I owe £2865 and this will be collected via my code next year.
Does anyone think I can contest this as it appears to me that either HMRC or CIS have messed it up and this is alot of money to be asked to repay from my income.

Thanks

You have a very good chance of success under the extra statutory concession A19 which provides relief if HMRC have known all about your income sources for several years but have repeatedly failed to sort out your tax. In your case, IF you've had a state and private pension for 10 years, then almost certainly, HMRC knew about both prior to 07/08 but didn't correct your tax, so you should be able to appeal and get the tax cancelled. However, if one or other of those pensions didn't start until 07/08, then you've far less chance of making a successful appeal. There are loads of threads on here (and other fora) about how to claim under ESC A19.

peteg1935

Pennywise wrote: »

You have a very good chance of success under the extra statutory concession A19 which provides relief if HMRC have known all about your income sources for several years but have repeatedly failed to sort out your tax.

My CIS private pension income has never changed from when I retired in 1999, my state pension has of course risen with the annual increments, but as you say HMRC would have known all this. Something has gone wrong between them and the CIS, my pensions are paid against five plans handled by two different tax districts (no idea why) , surely it is there mistake if the correct tax has not been deducted.

corners_2

Thanks for all the advice and shared experience here, I've spent the afternoon trying to become a tax expert.

What appears clear from the thread though is that despite receiving 2 sets of P2 forms from HMRC I cannot recall ever receiving any P800.

I will try ringing the tax office again tomorrow.

The support on this site is incredible

Thanks