Payroll End of Year Dilemma

username12345_2

I'm hoping someone will be able to give me some advice.

I've worked for a small company for 10+ years as the bookkeeper and for the past couple of years have also completed the payroll.

My boss doesn't like paying HMRC and consequentially we owe them a lot of money. The company went into liqudation in its previous incarnation (he got away with that somehow) owing HMRC about half a million pounds.

Last year was my first year completing the year end for the payroll, so I did everything by the book. I gave all the employees their P60s and sent the P35 to HMRC (and everything else that I had to do).

Cue HMRC "catching up" with my company, and realising that we owe them practically a whole year's tax and national insurance. My boss then tried to tell me that he'd asked me not to complete the P35; he'd rather have taken the £100 fine for being late. He had told me no such thing, which I explained and he went off with his tail between his legs.

So this year he's gotten to me early, and this is my dilemma. He's already asked me not to complete the P35. I asked him how HMRC will know about all our tax & NI contributions and his response was "You'll have your P60".

I'd really like someone who is more knowledgeable than me to explain the consequences of this to me. He is effectively using our (the employees) money to prop up his own business, because he clearly has no intention of paying the money he has dedcuted from me over to the HMRC. I'd rather have it in my own pocket and pay it over myself

Do I send a copy of my P60 to HMRC at the end of the year?

I really don't know what to do. Help please?!

tizerbelle

He is ultimately responsible for this. If you are following his instructions you won't get in trouble although if you could get him to confirm his instruction to you in writing (email) that may be useful in future.

Then once the filing date has passed, just dob him in anonymously to HMRC.

eamon

He is potentially doing you and all the other employees out of your future pensions and if you ever need to submit a claim for benefits probably that as well. I wouldn't be surprised if HMRC have no records (or have incomplete records) of your tax and NI contributions. I think there is another board that will have better advice.
Good luck

dseventy

Shop him in

http://www.hmrc.gov.uk/tax-evasion/hotline.htm

Tell them all they need to know.

D70

Emmzi

get a new job, THEN report him

username12345_2

Thanks for all your responses. I was actually looking for a "dob him in" link on HMRC yesterday, but then I realised I was at work and it probably wasn't the best idea....

Ultimately, if I dob him in the company goes under, so I would definitely have to get another job first, or take my chances through the government redundancy scheme.

Thanks again.

Sambucus_Nigra

Would there be a government redundancy scheme available if you haven't paid any TAX/NI contributions? As in theory - your job doesn't exist.

[Deleted User]

An Employer is legally obliged to complete a P35. He won't get away with it when RTI comes in next year as everything needs to be submitted on a monthly basis http://www.hmrc.gov.uk/rti/index.htm
If you want to shop him I would call the HMRC compliance team.

username12345_2

Sambucus_Nigra wrote: »

Would there be a government redundancy scheme available if you haven't paid any TAX/NI contributions? As in theory - your job doesn't exist.

I have paid tax & NI for 12 years (same company), and the P35 has always gone to HMRC for every year previously. It's only this year that I'm worried.
This is why I wanted to know if I'd be okay sending my P60 to HMRC myself, as proof of the deductions that have been made from me.

Notmyrealname

You don't need to unless you receive a letter from them stating its not been paid or you enquire about your NI account and find its short.