skip to navigationskip to main content

Whose Fault is Underpaid Tax?

Newsletter issue - September 2012.

Have you received a tax calculation (on form P800) which shows you owe tax that you thought had been collected under PAYE? Every year the Tax Office undertakes a 'PAYE reconciliation' to check whether the tax collected from pensions and salary under PAYE was the correct amount. Where a taxpayer has a number of jobs or several pensions in a year, the PAYE system can get it wrong, leaving tax underpaid.

We can help you check any form P800 you receive, but we need to see the PAYE codes issued to you for the tax year, and payslips from your employer or pension provider to check what PAYE codes they have used. Where the employer/pension provider has not used the correct PAYE code and this causes any tax not to be collected, it remains their responsibility, not yours.

Unfortunately the Taxman is ignoring this piece of law and is demanding payment of the underpaid tax from employees and pensioners, where the error lies with the employer/pension provider. We can help you challenge the Taxman on this point.

Sometimes the fault lies with the Taxman who has ignored information you or your employer have provided on more than one occasion. The Tax Office may also have let tax arrears build up over two or more years without telling you. If either of these situations apply, you can ask the Taxman to write-off the tax owing under Extra Statutory Concession A19. The Taxman is very reluctant to use this concession, but we can help argue your case.

request-a-callback

Request a callback

Let us know and we will be happy to call you back.

get-in-touch

Get in touch

Simple way to contact us. Just fill in a simple form.

free-consultation

Free Consultation

We will offer as much advice as we can.

our-services

Our services

Find out details about what we can do for you.

Keep up to date

Why not sign up to our newsletter and keep up to date with all thats happening @KPSK Accounts & Tax Limited.

Please read our Privacy Policy before signing up