Deep joy, I owe HMRC 2k :(

MrHanky · January 06, 2011, 03:24:00 PM

Well looks like i was one of many to under pay tax due to tax blunder. Wife just rang to say that I have a letter saying I owe Â£2k or so because of some medical expense benefit. So just as I was planning to treat the car to a few things, this crops up. Wasn\'t planning on spending anywhere near 2k on the car, so its not like I have this around to pay. Will get on the phone and see what I can do, but have to say I am gutted.

Mark

BlitzBoy · January 06, 2011, 03:48:19 PM

that sucks, are you self employed?

L18M · January 06, 2011, 03:55:56 PM

dam! u can buy a fc for that much! lol
all that comes to mind is "monkeys" (to put it nicely)

fil_auto · January 06, 2011, 04:05:08 PM

hopefully you get a reasonable amount of time to pay it back rather than in one foul swoop! Chin up buddy

Brett · January 06, 2011, 04:59:38 PM

Argue about it with them, they may reduce it...

MrHanky · January 06, 2011, 05:26:52 PM

Nope, not self employed. Just got home and had a look at the letter. It\'s actually for 2008-2009 and probably because I switched jobs mid year and sold a load of my shares from my old company, at the time of leaving.

Just looking into it now, as I was under the impression that they could only claim back from a year before.

Liam - I have got 2 EGI\'s for way less than that

Thanks

Mark

captainbizzaro · January 06, 2011, 05:27:24 PM

At the end of the day they\'d rather get it over a set period rather than not at all so just ring them, surely you will be able to set up a payment plan for it.

MrHanky · January 06, 2011, 05:33:40 PM

Doh, looks like they have 4 years to claim so thats out of the window.

Mark

MrHanky · January 07, 2011, 10:56:59 AM

Right just got to the bottom of the problem.
Basically I left old job in Sept 08 and started new one in Oct 08.
At the time of my first payroll with new employer, they used old tax code. This was used for rest of year and is what caused the 2k underpayment.

But I can appeal against this if I and my employer submitted my P45 to HMRC before the end of the 08/09 tax year.

I am pretty confident that I submitted to my employer straight away as this is on the list of things to do when you first join. Just need to check dates with my employer, but fingers crossed I might have a case to write this off as an HMRC mistake for not sending my employer the correct tax code.

Mark

Bobbit · January 07, 2011, 11:39:41 AM

Good news, hope you get it sorted bud

MrHanky · January 07, 2011, 11:45:59 AM

Quote from: Bobbit;735589Good news, hope you get it sorted bud

Cheers matey, me too.
If I do then car upgrade purchases are back on

Mark

rossonza · January 07, 2011, 11:51:34 AM

Good luck Mark

Casey · January 07, 2011, 12:18:19 PM

Ouch! Sorry to hear of this Mark. I hope you manage to get some luck on appeal and, if not, at leaat get a reasonable time to pay it back.

Makes my blood boil when this happens, and you read in the newspaper about Sir Andrew Cahn. He is the former head of UK Trade and Industry, paid Â£250,000 a year, now leaving with a taxpayer funded Â£1.2m pension pot. He asked his staff to think up ways of "getting money out the door" by spending Â£1m of taxpayers money to "avoid an underspend against budget"!!:2Mad. He said "in government you are criticised as much for not spending your budget as you are for overspending". How the hell are we going to claw ourselves out of this economic mess with that attitude?

It seems the culture is still not "how can I save spending taxpayer\'s money in these difficult times" but the old game of, "if I don\'t spend what I\'d forecast this financial year, I won\'t get as much budget next year":2Mad:2Mad

Sorry, rant over

MrHanky · January 07, 2011, 01:01:30 PM

If I do have to pay it back, best I can hope for is over a 3 year period. So thats still Â£55 a month which I could really do with. In fact as things stand at the minute I have about Â£100 a month spare in my account which is for running the RX7, treats like Coca Cola and a friday morning breakfast at work etc. So that would basically leave me with Â£45 a month for a little bit of luxury.

Anyways, it could be worse. At least me and my family have our health (touch wood).

Yep I cannot see that culture changing any time soon.

On the plus side I have taken this bit of news as an excuse to prematurely celebrate and treated myself to 2.... yes 2 half price Rotary T shirts from the club shop

Cheers guys.

Mark

Quote from: Casey;735595Ouch! Sorry to hear of this Mark. I hope you manage to get some luck on appeal and, if not, at leaat get a reasonable time to pay it back.

Makes my blood boil when this happens, and you read in the newspaper about Sir Andrew Cahn. He is the former head of UK Trade and Industry, paid Â£250,000 a year, now leaving with a taxpayer funded Â£1.2m pension pot. He asked his staff to think up ways of "getting money out the door" by spending Â£1m of taxpayers money to "avoid an underspend against budget"!!:2Mad. He said "in government you are criticised as much for not spending your budget as you are for overspending". How the hell are we going to claw ourselves out of this economic mess with that attitude?

It seems the culture is still not "how can I save spending taxpayer\'s money in these difficult times" but the old game of, "if I don\'t spend what I\'d forecast this financial year, I won\'t get as much budget next year":2Mad:2Mad

Sorry, rant over

Will66 · January 07, 2011, 01:26:57 PM

That\'s a pain. No one wants to give Â£2k more than they thought they needed to to the tax man. Fingers crossed your appeal is valid and it all goes away.