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Tax paid in wrong financial year.

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warpig3 | 16:34 Thu 14th May 2009 | Law
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I returned to work on 2nd March 09 after a two year career break. The company who pays me (contracted out company) did not pay me any wages at the end of March as they said they did not know my grade (despite all the relevant info being sent and received by them). They paid the net amount into my bank account at the end of march but provided me with no wage slip or details.

At the end of April they paid me Aprils pay and Marchs together then deducted the cash amount they had 'advanced' me.

Unfortunately since March was in a different financial year and this was the only salary I earned in that financial year I would not have been liable to pay tax on it. The company states that I must claim this tax back from HMRC and HMRC state that it is up to the company to rectify it ie transfer 'Marchs' salary back into the correct financial year. I am at a loss, can anyone recommend what I should do next as I am not getting anywhere and a growing more and more frustrated.

Also are the contracted out company making a fraudulent statement to HMRC by having money in one financial year when it should be in another?

Hope that all makes sense.

Thanks
warpig
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Yes, it makes perfect sense, and I've been caught out by this one persoanlly in my career many years ago. I vowed it would never again happen to me.
It isn't an issue for HMRC - it is your employer that has fouled up. Your employer is wrong to say you have to deal with it via HMRC - they can do nothing. They only work on what the employer tells them you have earned in what year (via the monthly returns they make to HMRC and then annually in a thing called a P14 - which is a return they make to HMRC annually for each employee). The same data as is on the P14 appears on your P60.
Unfortunately the deadline for your employer to make their annual return to HRMC for the year 2008/9 is the 19th May - so it is very likely their return has now gone in. In case it hasn't, do it tomorrow!
The return cannot easily be reversed.
Sorry but I don't hold out much hope - unless someone else knows different?
Question Author
Thank you buildersmate. I spoke to HMRC yesterday and it is as you stated re the P60 and P14. I will give the company a call today although I too have little hope. Thing that is really annoying is that they knew about this at the end of march and had plenty of time to rectify it especially when I have been on the phone to them several times telling them of this error.

many thanks
warpig
To slightly add to buildersmate's answer, I don't work in payroll but I believe it's considerably easier to amend a P14 previously submitted than it used to be.

I uncovered an error in payroll by one of our clients and informed our payroll department about it (they hadn't done the payroll but did submit the annual forms). They amended the returns online within five minutes!
Question Author
Thank you skyline, I hope you are right. These numpties who now do our payroll are useless, I never get to speak to the same person twice and no one is prepared to take responsibility, making it very frustrating.

I have decided to use their complaints procedure so fingers crossed.

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