PAYE - benefits / tax mistake
Discussion
I imagine I'm out of luck here, but I thought I'd ask - my Google-fu gives me this link which makes me think I might be in with a chance that the company should pay, but I'm not 100% sure.
So, in summary - my company tell me that the P11D I was sent for the last tax year "may" have been wrong in relation to my taxable benefits. Additionally, some benefits that were previously exempt from tax (life assurance, etc.) are now taxable, which again may have led to my P11D being incorrect, as seemingly they didn't account for this. The company will issue an updated P11D shortly.
My company tell me that once HMRC processes my updated P11D, they may issue me with a new tax code to reflect the changes to my benefits in kind in the last tax year.
This was all outside of my control, and the company or their supplier appear to have dropped a clanger in terms of the tax treatment or reporting of my benefits. I understand that I may have underpaid tax, and this is now due - no problem there.
This leads me to the obvious question - is it due from me or should the company cover me for an underpayment due to their error in the previous tax year?
Should it make a difference, I'm told the amount is likely small, and (speaking frankly) it's not going to push me into poverty...
So, in summary - my company tell me that the P11D I was sent for the last tax year "may" have been wrong in relation to my taxable benefits. Additionally, some benefits that were previously exempt from tax (life assurance, etc.) are now taxable, which again may have led to my P11D being incorrect, as seemingly they didn't account for this. The company will issue an updated P11D shortly.
My company tell me that once HMRC processes my updated P11D, they may issue me with a new tax code to reflect the changes to my benefits in kind in the last tax year.
This was all outside of my control, and the company or their supplier appear to have dropped a clanger in terms of the tax treatment or reporting of my benefits. I understand that I may have underpaid tax, and this is now due - no problem there.
This leads me to the obvious question - is it due from me or should the company cover me for an underpayment due to their error in the previous tax year?
Should it make a difference, I'm told the amount is likely small, and (speaking frankly) it's not going to push me into poverty...
It is going to be yours to pay. The company I worked for a few years ago incorrectly entered my tax code and the tax was short by a few thousand pounds when I did my return and after going backwards and forwards for a while they did offer to pay it and give me an interest free loan.
Which as above the next year that was classes as a benefit which wasn't explained at the time. Sigh.
Which as above the next year that was classes as a benefit which wasn't explained at the time. Sigh.
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