Former employer sent me an invoice for unpaid tax!

Guest101

enajaluap wrote: »

So, I guess my question is... can he pursue the overpaid salary part? Even though it's technically underpaid tax due to his error?

I don't want to look like a donkey here by fighting it all the way, only to end up having to cough up before a court orders me to do so? The thought of having to pay any money to this man makes my skin crawl!

Anyone can sue anyone else, I could sue you. Doesn't mean id win...


Certainly I wouldn't worry unless you get a LBA or court papers.

stator

My guess is he is lying to you.

After re-running the payroll he's probably already paid the correct tax to HMRC and is trying to get you to reimburse him.

Manxman_in_exile

But if the employer has paid the correct tax to HMRC then the OP has been overpaid if the tax wasn't deducted from him?

General_Grant

bod1467 wrote: »

ONE response, in writing ... Thank you for your invoice.

I'd suggest, "I refer to your invoice in the sum of £X.,,,,,"

bod1467

General_Grant wrote: »

I'd suggest, "I refer to your invoice in the sum of £X.,,,,,"

Indeed. I wasn't expecting OP to use my post word-for-word, merely as a guideline.

I've had this happen to me before (over/under paid tax) ... HMRC have always made any corrections via my tax code.

enajaluap

Hi guys,

I've since had some legal advice on this matter so I just wanted to update you.

They have said that since the former employer is "willingly and knowingly" making this payment to HMRC, he will have to seek any loss incurred directly from HMRC, this does not constitute an over payment of salary.

I've also been in touch with a manager at HMRC who has asked me to send a copy of our email exchange to them so that they can fully investigate and if anything is owed on my part, it will be deducted through my tax code. The manager also implied that depending on the outcome of the investigation, there may even be a chance that I won't have to pay anything - this would depend on if the employer error was made in "good faith" or not. At the end of the day, if I owe it, then I owe it and it will be paid directly to HMRC, NOT to the former employer!

I have informed the former employer of my findings and have had a bit of a passive aggressive/patronising email back as detailed below:

"I am pleased that you have sought some independent legal advice regarding this matter, which I assume you will have in writing from your lawyer and will therefore have some redress as this matter progresses. I am also pleased that you are letting HMRC have copies of all correspondence and would appreciate copies of any correspondence you receive back from them in order to bring this matter to a conclusion as soon as possible.

You have made it perfectly clear that you do not intend to pay any money to us and perhaps do not fully understand the figures or your obligations. I am therefore happy to sit down with you to run through the figures and calculations at a mutually convenient time to explain them to you and to ensure you fully understand them.

We will as previously notified pay this tax on your behalf as part of our EPS payment tomorrow. As this matter is not going to go away I would be grateful if you could let me know if you would like us to address further correspondence to you or your lawyer.

Yours sincerely"

What would be your next step? My instinct is to ignore him, he is clearly clutching at straws but I hate how he thinks he is getting one over on me and trying to call my bluff...:mad: I'm not bluffing btw!

bod1467

Just ignore him now, would be my suggestion, unless it is a formal LBA or actual court papers. If anything is due HMRC (who carry far more legal weight than him) will settle it.

Have you sent a letter along the lines I previously suggested?

elsien

He really has been practicing his patronisation skills, hasn't he?
He can appreciate copies of your correspondence all he wants, I wouldn't be passing anything on to him. If he wishes to correspond with them over his company tax affairs that's his prerogative and he can sort it himself.

His oh so helpful offer to run through the figures can foxtrot oscar.
If you haven't already sent a letter, I'd be sending one on the lines suggested above making it clear you won't be responding to any future communication.

enajaluap

I was keeping the "no further contact" letter in my back pocket because I didn't want to antagonise the situation further and push him into a move when he was only bluffing if you know what I mean?

I'm glad you can see, from such a short email, the kind of person I am dealing with here!

What do you think to this as a response from me?

"All is in hand on my part, thank you for your concern. I would imagine that HMRC will contact you directly with any comments which involve you.

I have no interest in sitting down with you to run through the figures and calculations; I have already done this with HMRC. I would be interested, however, in an explanation of how the error occurred and whether the error was made in "good faith" - this would need to be in writing.

Please do not contact me at all unless it is:

a) Offering an explanation of the error in writing, how it occurred, who was involved and when it was discovered, email is fine.
b) A formal Letter Before Action compliant with the Practice Directions for Pre-Action Conduct of the Civil procedure Rules, or
c) Actual court claim papers from the County Court

Any other communications will not be responded to but will be filed as evidence in the event that I require to make a claim against you for harassment. Please be on notice that any communication regarding this matter, by whatever means (letter, email, text, phone call, in person), that is not any of the above will be considered as harassment."

Should I just leave the bit out about the explanation of how the error occurred? I only put it in to make him aware that I am aware of the guidance from HMRC (that an employer is liable for any underpayment of tax due to an employer error, especially if it wasn't made in "good faith" - I believe he is being so persistent because he does not intend to inform HMRC of this error)

Sorry, bod1467 I have blatantly ripped off what you said previously but it sounds good to me!

MoneySavingNovice

[FONT=&quot]Personally I think you should not ask further questions as it open up the possibility of pointless and ongoing correspondence.

Remind him that as taxation is a personal matter you will resolve any issues directly with the HMRC which includes any possible underpayment of tax. Remind him that he is not empowered to act on [/FONT][FONT=&quot][FONT=&quot]your behalf[/FONT].

After that add the basics as suggested by bod1467.[/FONT]

[FONT=&quot]Good luck with this…….given your comments I would not want this individual anywhere near my tax return![/FONT]