Issue with salary

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Discussion

andyr30

Original Poster:

613 posts

186 months

Wednesday 29th July 2015
quotequote all
Ok, going to try and explain this as best as possible.

I work for a company who sold out to another company. We used to get paid on the last working day of the month with the original company. New company changed pay date to 24th of every month.
After a while they decide to change it back to last working day. The month that this happened our payslips showed us getting paid on both the 24th and the last working day - effectively showing 13 payments over the year...lets say I get paid 1000 month - payslip showed a payment of 2000. However I only got paid 1000, but the tax that was taken off was as if I'd been paid 2000.
This meant it left me short that month and I had to get subbed from the company which was then paid back over the next few months. We were told at the end of the tax year this error would sort itself out and we would recieve a refund of the overpayment of tax.
This never happened and our company claim to not know anything more on this matter.

From what I understand now, a business can't issue an employee with a payslip that has a different amount to what they are actually paid? Is this correct?

I've tried a few times to speak to the tax office about this but not really got anywhere.

Hope this makes sense and if so can anyone shed any light?

Cheers


MacW

1,349 posts

176 months

Wednesday 29th July 2015
quotequote all
At the end of the year, did you P60 say a total of £12k or £13k?


andyr30

Original Poster:

613 posts

186 months

Thursday 30th July 2015
quotequote all
P60 shows £13k.

Obviously I've over paid tax, so trying to get hold of Tax Man to sort that out.

Countdown

39,895 posts

196 months

Thursday 30th July 2015
quotequote all
andyr30 said:
P60 shows £13k.

Obviously I've over paid tax, so trying to get hold of Tax Man to sort that out.
Your company payroll dept is incompetent. Not only will you have overpaid tax, you will also have overpaid NI (which you can't recover).

If your P60 shows the wrong amount then HMRC doesn't think you've overpaid tax and will NOT refund you.

To correct this your company needs to submit an amended end of year return.

MEC

2,604 posts

273 months

Thursday 30th July 2015
quotequote all
Countdown said:
Your company payroll dept is incompetent. Not only will you have overpaid tax, you will also have overpaid NI (which you can't recover).

If your P60 shows the wrong amount then HMRC doesn't think you've overpaid tax and will NOT refund you.

To correct this your company needs to submit an amended end of year return.
Or work out your net pay from your payslips, deduct what you've actually been paid and tell then they owe you the difference and you have a formal HMRC document to prove it?

andyr30

Original Poster:

613 posts

186 months

Thursday 30th July 2015
quotequote all
Countdown said:
Your company payroll dept is incompetent. Not only will you have overpaid tax, you will also have overpaid NI (which you can't recover).

If your P60 shows the wrong amount then HMRC doesn't think you've overpaid tax and will NOT refund you.

To correct this your company needs to submit an amended end of year return.
Yes this has become quite clear since being taken over.

Is it worth talking to HMRC at all then or just trying to get the company to sort out the amended end of year return?

Countdown

39,895 posts

196 months

Thursday 30th July 2015
quotequote all
andyr30 said:
Yes this has become quite clear since being taken over.

Is it worth talking to HMRC at all then or just trying to get the company to sort out the amended end of year return?
Not worth contacting HMRC at all IMHO. For a start you'll be waiting on the phone for a minimum of 30 minutes and I can't think of them saying anything other than what I've advised.

The option advised by MEC is also a good idea - it will save your employer a job smile