Underpaid Tax Demand

mjh2491851

I have just received a Tax demand for underpaid tax on my company pension for year 2008/09 & 2009/10 totalling £946.20.
When I contacted the Tax department to ask why, they informed me that they had forgotten to send a Tax code to my company pension department.
but they would not admit that it was their actual fault & I had to pay it.
I then contacted my pension company & asked why they had administered my pension without receiving a tax code but all I got told was that they have thousands of people they administer pensions to & have not got time to check that sort of thing.
So it looks as if I have got to pay up or is there any way I can not pay it & get someone to admit liability.
PLEASE CAN YOU HELP ?

Kavajo

Hi,

I have received a similar underpaid tax demand on a P800 annual review. From what I understand, they check what you earned against the tax you paid, and if it is less, then you owe it no matter who's fault it was. The only get-out is if the tax office has failed to act on information given to them. Can you will share a bit more info about your affairs so that you can get the right advice. Is this company pension the only income or do you work too? What were the tax codes on each of your PAYE incomes? Did that mean you used your tax-free personal allowance twice? Check all the figures used in the calculation in case there is an error. If the amount owed is correct, then I understand you can arrange to have it collected through PAYE tax spread over 2 or three years, instead of a lump sum.

p00hsticks

Did HMRC send YOU a notice of coding letting you know what your tax code was for the relevant period ?