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Where Taxpayers and Advisers Meet

Employer not paying my tax or national insurance

Abuck257
Posts:1
Joined:Wed Feb 20, 2019 8:08 pm
Employer not paying my tax or national insurance

Postby Abuck257 » Wed Feb 20, 2019 9:09 pm

Hi everyone, hope someone can give some advise or point me in the right direction.

Currently my partner is working with a standalone buisness on the highstreet. Has been for the past 6 years. My partner got the position through a local authority "get in to work" scheme. Been working thare ever since.

During the time my partner has been working with the buisness, one of his colleagues left to go for another job. Unfortunately the job fell through and the person couldn't get their original job back. This person had to claim benifits as it was their only option of an income. As this person said, because their was no contributions to tax or national insurance they could not claim any benifits.

Now the brain gets ticking...

My partner doesn't have a written contract but being young and just wanting a job, anyone at that age doesn't bother to ask for a copy of the contact. The employer has explained the rate of pay and said pay slips will be available on request. Again, as long as your getting paid you don't really care at that age.

Over time with loyalty to the buisness my partner has been getting yearly increase in the hourly rate. The employer has explained what the deductions will be with tax and national insurance and then told verbally his weekly rate will be £xxx.xx after deductions. My partner gets paid weekly.

My partner called the HMRC office and enquired about his tax and national insurance contributions. No record... as this job has been the only job since my partner turned 16. Now 22 with no record of employment with HMRC.

My partner has asked the employer about his deductions and why the HMRC don't have a record of the employment. The employer said they will sort it out and not to worry about it.

This enquiry with the employer has been ongoing for the 2 years and nothing has been updated with HMRC. Many questions have been asked. In the last conversation with the employer they said they would work with a system that they download to their computer. They would input the data like a spreadsheet and it would work out all the calculations and they would pay HMRC with a pay-in book. Apparently this system gets so far and doesn't work. The employer said they have called HMRC numerous times for support but gets passed around departments and doesn't get an answer.

I know nothing about how the system works as I have always worked with big companies with payroll and HR departments. I don't really need to know that type of information. All I know is what's deducted on my payslips and I'm on the correct tax code

The employer said my partner will need to wait untill the new financial year passes for the HMRC gets the information and he can view it on the government gateway portal. This passed last year and nothing was updated. The employer now says it won't be done untill this financial year passes.

We have also been in touch with an accountant to enquire about the situation. The guys been great answering our questions although we are not his paying client.

We have been in touch with tax aid and they say to report the buisness or declair yourself as self employed and take on the tax yourself.

Any advise? Also any further questions to help with answers as welcome

Thanks

robbob
Posts:3228
Joined:Wed Aug 06, 2008 4:01 pm

Re: Employer not paying my tax or national insurance

Postby robbob » Thu Feb 21, 2019 9:42 am

It's not your partners issue sorting this out they should send one complaint letter detailing gross income levels for each tax year (or net if that is all they have) and demand that hmrc update their records its as simple as that. Mention that this has previously been reported.

Note that will involve hmrc and the employer having this bun fight and could take months if not longer to sort out but really IMHO an employee should never be dragged into the employer hmrc/spat other than providing with hmrc of reasonable evidence of income if that is what hmrc require.

I am presuming salary levels are over the lower earnings limit of £116 (this tax year)

I would though ask employer in the absence of solution to confirm in writing on letterhead either net or gross salary for each tax year involved asap. This is good extra proof that salary exists.
No reason for your employer not to give you this. i am presuming you have never had p60's ?

You can also take additional action eg contacting acas and making a complaint via them is a good starting point

https://www.gov.uk/pay-and-work-rights

The employer has no excuses he could pay any accountant/payroll provided to submit this info to hmrc and produce what is presumably missing p60's asap - so i would take whatever employer says with a pinch of salt - the onus really is up to hmrc to update your record asap once they are alerted of the deficiency.


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