We'd like to remind Forumites to please avoid political debate on the Forum. This is to keep it a safe and useful space for MoneySaving discussions. Threads that are - or become - political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

Incorrect PAYE information (P60)

IAmKloot
IAmKloot Posts: 1 Newbie
edited 9 March 2013 at 12:13PM in Cutting tax
Hello

I'm looking for some advice as to whether I am responsible for the repayment of a tax rebate which I received as a result of incorrect information supplied to HMRC by my previous employer.

In the year 2011/2012, I was employed by company "A" who were a wholly owned subsidiary of company "B". Company "A" were then sold by company "B" to company "C" (and adopted the same name as company "C"). After a number of months, I was then made redundant. When company "C" submitted my P60 to HMRC, they only included my earnings from the date they took over "B". As a result of this error, I received a tax rebate. HMRC have since become aware of this mistake and tried to reclaim the rebate from me.

After doing some online research, I discovered that the employer is responsible for repayment of any tax which results from "incorrect operation of the PAYE system". I therefore wrote a letter to HMRC explaining that I think my ex-employer should be responsible for the repayment. This morning, I have received a reply rejecting this, stating "I believe that your employer operated PAYE correctly using the information they had at the time." It then goes on... "You did not pay enough tax because you received a tax refund that was not due. This showed income details from "C" only. When we received further income details from "B" your tax liability was recalculated and it was found that the refund that has been issued to you was issued in error."

Do you think it is worth appealing against this decision, or should I just accept it and pay the money back?

Any advice on this will be gratefully received.

Thanks

Comments

  • Definitely pay it.
    No debts. No credit cards. No store cards. No mortgage. No CCJs. High credit rating intact. Living frugally. Want to start business soon. Trying to keep head above water; while standing on own feet; staying within the law; and not falling into debt. Looking to raise income, who isn't?
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 347.9K Banking & Borrowing
  • 252K Reduce Debt & Boost Income
  • 452.2K Spending & Discounts
  • 240.3K Work, Benefits & Business
  • 616.5K Mortgages, Homes & Bills
  • 175.4K Life & Family
  • 253.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 15.1K Coronavirus Support Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.