This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.


Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

6 Year Limitation on National Insurance Arrears

Posts: 1
Joined: Wed Aug 06, 2008 3:04 pm

Postby Tax-Serf » Mon Jul 21, 2003 9:39 am

The IR's Employers Compliance Handbook says that, being a civil debt, there is a six year time limit on collecting NI arrears. Does anyone know from when this is calculated? In this case the alleged arrears arise from an in-kind bonus scheme declared (properly & timely) on a P11D, which the IR are now saying should have been treated as PAYE, and so subject to NI. Should the six years run from the date of the P11D or the date of the transaction itself? I've had a diversity of opinions on this but are there any precedents or definitive references? Thanks.
Posts: 29
Joined: Wed Aug 06, 2008 3:03 pm

Postby » Tue Jul 22, 2003 8:17 am

I believe interest should run from the 19th of April following the relevent year eg 1998/99 would be 19 April 1999.
As a firm we have had considerable experience with this issue in relation to not dissimilar circumstances.
Alan McCann CTA ATT
Director of Taxation

Posts: 25
Joined: Wed Aug 06, 2008 3:02 pm

Postby Gazzer » Sun Aug 08, 2004 9:17 am

I have just had a demand which sounds very similar to yours Tax-Serf. The revenue have calulated interest starting back at 19th April 1998, that's over six years. Did you ever reach a conclusion?

Return to “PAYE and Payroll Taxes, National Insurance, NICs”