Discussion:
P800 calculation
(too old to reply)
m***@gmail.com
2017-02-24 18:44:23 UTC
Permalink
Today I received a P800 calculation from HMRC telling me I owe them £1,340 underpaid tax from 2015-16.

However, the calculation includes an £889 underpayment from 2014-15 which I am currently paying back via a reduced tax code - it will be fully repaid by the end of this tax year.

Is the P800 calculation wrong or is this how they work? Collect it once, then collect it again and hope I don't notice?

Should I contact them?
Robin
2017-02-25 06:45:30 UTC
Permalink
Post by m***@gmail.com
Today I received a P800 calculation from HMRC telling me I owe them £1,340 underpaid tax from 2015-16.
However, the calculation includes an £889 underpayment from 2014-15 which I am currently paying back via a reduced tax code - it will be fully repaid by the end of this tax year.
Is the P800 calculation wrong or is this how they work? Collect it once, then collect it again and hope I don't notice?
Should I contact them?
The P800 includes any amounts you owed from an earlier and have not yet
paid, and as of now you have not paid the £889 from 2014-15.

And they won't collect it again if your new PAYE code for 2017-18
includes only an adjustment for the difference between the £1,340 and £889.
--
Robin
reply-to address is (intended to be) valid
m***@gmail.com
2017-02-27 18:13:22 UTC
Permalink
Post by Robin
Post by m***@gmail.com
Today I received a P800 calculation from HMRC telling me I owe them £1,340 underpaid tax from 2015-16.
However, the calculation includes an £889 underpayment from 2014-15 which I am currently paying back via a reduced tax code - it will be fully repaid by the end of this tax year.
Is the P800 calculation wrong or is this how they work? Collect it once, then collect it again and hope I don't notice?
Should I contact them?
The P800 includes any amounts you owed from an earlier and have not yet
paid, and as of now you have not paid the £889 from 2014-15.
And they won't collect it again if your new PAYE code for 2017-18
includes only an adjustment for the difference between the £1,340 and £889.
--
Robin
reply-to address is (intended to be) valid
Ok, it gets better.

I receive another letter today from HMRC telling me that they recently wrote to me advising me that I have underpaid tax in the sum of £451.20.

Erm, no, that's not what the letter said; it referred to £1,340 underpaid tax.

But here's the kicker; I have to pay the full amount by 23 March because they can't collect the underpaid tax because "there is no PAYE source to code the underpayment against".

Are these people for real. Seriously?
Robin
2017-03-02 09:05:58 UTC
Permalink
Post by m***@gmail.com
Post by Robin
Post by m***@gmail.com
Today I received a P800 calculation from HMRC telling me I owe them £1,340 underpaid tax from 2015-16.
However, the calculation includes an £889 underpayment from 2014-15 which I am currently paying back via a reduced tax code - it will be fully repaid by the end of this tax year.
Is the P800 calculation wrong or is this how they work? Collect it once, then collect it again and hope I don't notice?
Should I contact them?
The P800 includes any amounts you owed from an earlier and have not yet
paid, and as of now you have not paid the £889 from 2014-15.
And they won't collect it again if your new PAYE code for 2017-18
includes only an adjustment for the difference between the £1,340 and £889.
--
Robin
reply-to address is (intended to be) valid
Ok, it gets better.
I receive another letter today from HMRC telling me that they recently wrote to me advising me that I have underpaid tax in the sum of £451.20.
Erm, no, that's not what the letter said; it referred to £1,340 underpaid tax.
But here's the kicker; I have to pay the full amount by 23 March because they can't collect the underpaid tax because "there is no PAYE source to code the underpayment against".
Are these people for real. Seriously?
It's hard to comment without knowing your PAYE sources, the annual
payments from them and the PAYE codes in use against them. But I did
just wonder if you have you quoted the whole of their explanation.
There used often to be a note which covered that and that the
underpayment would more than double the amount of tax they would
normally deduct, or result in more than half of the payments being
deducted as tax.

I do note though that they are only looking for the difference between
the £1,340 and the £889 already coded out (as I suggested they would).
--
Robin
reply-to address is (intended to be) valid
m***@gmail.com
2017-03-02 18:58:54 UTC
Permalink
Post by Robin
Post by m***@gmail.com
Post by Robin
Post by m***@gmail.com
Today I received a P800 calculation from HMRC telling me I owe them £1,340 underpaid tax from 2015-16.
However, the calculation includes an £889 underpayment from 2014-15 which I am currently paying back via a reduced tax code - it will be fully repaid by the end of this tax year.
Is the P800 calculation wrong or is this how they work? Collect it once, then collect it again and hope I don't notice?
Should I contact them?
The P800 includes any amounts you owed from an earlier and have not yet
paid, and as of now you have not paid the £889 from 2014-15.
And they won't collect it again if your new PAYE code for 2017-18
includes only an adjustment for the difference between the £1,340 and £889.
--
Robin
reply-to address is (intended to be) valid
Ok, it gets better.
I receive another letter today from HMRC telling me that they recently wrote to me advising me that I have underpaid tax in the sum of £451.20.
Erm, no, that's not what the letter said; it referred to £1,340 underpaid tax.
But here's the kicker; I have to pay the full amount by 23 March because they can't collect the underpaid tax because "there is no PAYE source to code the underpayment against".
Are these people for real. Seriously?
It's hard to comment without knowing your PAYE sources, the annual
payments from them and the PAYE codes in use against them. But I did
just wonder if you have you quoted the whole of their explanation.
There used often to be a note which covered that and that the
underpayment would more than double the amount of tax they would
normally deduct, or result in more than half of the payments being
deducted as tax.
I do note though that they are only looking for the difference between
the £1,340 and the £889 already coded out (as I suggested they would).
--
Robin
reply-to address is (intended to be) valid
Well I have a pension which has no allowance, it just gets taxed at 20% on the amount and then I have my employment salary which has a tax code which currently takes into account the £889 underpayment from prior years.

I wonder if they've, for whatever reason, looked at my pension instead of my employment.
Robin
2017-03-03 08:50:31 UTC
Permalink
On 02/03/2017 18:58, ***@gmail.com wrote:
<snip>
Post by m***@gmail.com
Post by Robin
It's hard to comment without knowing your PAYE sources, the annual
payments from them and the PAYE codes in use against them. But I did
just wonder if you have you quoted the whole of their explanation.
There used often to be a note which covered that and that the
underpayment would more than double the amount of tax they would
normally deduct, or result in more than half of the payments being
deducted as tax.
I do note though that they are only looking for the difference between
the £1,340 and the £889 already coded out (as I suggested they would).
--
Robin
reply-to address is (intended to be) valid
Well I have a pension which has no allowance, it just gets taxed at 20% on the amount and then I have my employment salary which has a tax code which currently takes into account the £889 underpayment from prior years.
I wonder if they've, for whatever reason, looked at my pension instead of my employment.
Straightforward cases are usually dealt with wholly automatically by
HMRC's system these days so that seems unlikely but you'll need to ask
HMRC (by phone or online).
--
Robin
reply-to address is (intended to be) valid
m***@gmail.com
2017-03-04 13:49:38 UTC
Permalink
Well today I've received yet another piece of correspondence from them advising me of my tax code for 2017/2018 and it does indeed simply deduct 5 x £453 from my code.

Si it's all worked out alright in the end.

But what a runaround; I can imagine some poor old soul getting a "pay £450 within three weeks or else" type of letter and panicking.

Left hands and right hands.......

Loading...