Where do HMRC get their information from?

DazCM

Okay, so I've just been sent a revised P2 coding notice for the current tax year, and suddenly 8 months in to it HMRC have decided that I get free fuel for private motoring in my company car, which is not nor has it ever been the case.

I've not changed Company cars or my job, and there has been no other financial changes.

I know I can phone them up and get it changed back (will this be difficult?), but I was wondering just where they've got the information from in the first place?

Mikeyorks

The information is normally from either you or your employer (via P11D). Shouldn't be difficult to get it rectified ...... but it will require a corrected P11D if that's where it's been sourced from.

Pennywise

Sometimes, whoever is doing the coding in HMRC just "assumes" that there's a fuel benefit as well as a car or van benefit. It doesn't always have to be that the employer had submitted a wrong P11d. I've certainly had a few cases over the years where the P11d has shown just car or van benefit and yet the coding notice includes an adjustment for fuel, apparently from no-where. In one case, HMRC did it year after year, for about 3 years - every year P11d showed no fuel, but every year HMRC coded it anyway - and every year I wrote in and received an apology from them - last time I made a formal complaint and reclaimed the extra accountancy fees in sorting it out, and since then they've got it right!

That said, just as likely that the employer wrongly included fuel benefit on the P11d. Your employer should have given you a copy of the P11d they submitted or at least a letter saying what they'd put on it. Check to see what they submitted. If they've not given you anything, ask them for a copy - you've a right to know what they put on the P11d.