Tax refund

Angie6463

Back in 2021 after being made redundant I took part time work for a local bathroom business. I was paid money into my account every week which was about minimum wage. I asked for payslip which eventually I got once I had handed in my notice. On my payslips I noticed a tax refund of £325. No additional money was ever paid to me, I earned approx £7000 in that employment. I later started a job elsewhere and was paid approx £12850 for that tax year. 
My tax code has now changed and im having to pay back the £325 back which I never received from that employer. 
I've contacted them and they tell me  no refund was ever made to me from hmrc ....but its clearly on my payslip. 
I'm confused any help appreciated.
Many thanks 😊 

Marcon

Angie6463 said:

Back in 2021 after being made redundant I took part time work for a local bathroom business. I was paid money into my account every week which was about minimum wage. I asked for payslip which eventually I got once I had handed in my notice. On my payslips I noticed a tax refund of £325. No additional money was ever paid to me, I earned approx £7000 in that employment. I later started a job elsewhere and was paid approx £12850 for that tax year. 

If you're paid by PAYE (which you were), tax refunds are handled as part of the ongoing monthly process, so you wouldn't normally receive a direct payment from HMRC. The amount you were paid for the month in question would (or should!) have been adjusted by the payroll provider to reflect the refund. If you were normally paid the same amount each month by the bathroom business, was your payslip for that month different from the previous/next month?

Angie6463 said:

My tax code has now changed and im having to pay back the £325 back which I never received from that employer. 
I've contacted them and they tell me  no refund was ever made to me from hmrc ....but its clearly on my payslip. 
I'm confused any help appreciated.
Many thanks 😊 

Not sure who 'them' is - your former employer, or HMRC?

Have you looked at your personal tax account? https://www.gov.uk/personal-tax-account

chrisbur

Not a very common practise but is it possible that you agreed a net rate of pay with the employer (ie you would receive an agreed sum into your bank) rather than a gross rate (ie they pay gross and from that is taken any deductions and you receive the rest)
Details of this are here, talks about nannies but it is occasionally used elsewhere.
https://www.nannymatters.co.uk/advice-centre/why-you-should-agree-a-gross-pay-rate-instead-of-net/