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Overtaxed by payroll

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Comments

  • Agree that a letter / phone call is the starting point for this. Have all your figures written down etc before hand. Its a similar situation I faced with redundancy in that the new rules mean my redundancy payment was taxed as though it was a months salary. (I wish !) I was paid that in Oct and nothing could be done really until end FY. Easy enough to sort but a little pain waiting 5 months for it.
  • chrisbur
    chrisbur Posts: 4,263 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    edited 14 April 2013 at 9:05AM
    Last year my code was 729L. I'll try and get hold of the P60 off them to see the figures.

    Only £25 next month! Is there no way they can alter it to be more of a lump sum refund (as it was their fault I was originally missed off the first time)?

    Also, as you mention as they added last years money into this new tax years, as it stands I will not get all of the money repaid... How can I go about resolving this!?

    Thanks
    Regarding the part that will be repaid over the current tax year.
    The only way that might be possible to get a lump sum would be if your employer paid the lump sum to you as a loan and then deducted it on a monthly basis from your net pay. That obviously would be down to your employer.

    Regarding the part that will remain as 40% tax.
    I think there are some rules that allow the tax office to re-allocate earnings into a different tax year under some circumstances; I do not know if it would apply to you nor what the details are. It has come up before on here somewhere but could not find it last night. May I suggest that you put a new post on the Cutting Tax Board, there are people on there that know where to find the actual regulations to see if it would apply to you.

    Edit The principal behind this section looks like it could cover your case though not the example given ....
    http://www.hmrc.gov.uk/manuals/eimanual/EIM42290.htm
    "It can happen that payment is actually made after the date the employee is entitled to be paid. For example, to help out a hard-pressed employer employees may agree not to draw their pay. In that situation they are deemed to have been paid on the day they were entitled to be paid."
  • Hi, sorry to dig up this thread again but it is still relevant. I have not yet received the overtaxed element back, HMRC have wrote to my employer a number of times requesting they submit a P14 form to correct last years figures, then adjust this years, this will then refund the correct amount. However my employer is not responding, i've tried phone calls, numerous e-mails. Is there any legal way I can force them to respond to HMRC otherwise I don't think they ever will?
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