Payrolling BIK

[Lisa9982]

My boyfriends comoany have moved over to the above from April 2016. Therefore, since April he's been paid his company car yearly sum monthly which is being taxed from his salary. He's received a letter from HMRC (I think this stems from an investigation into 2015/16 tax year where too little tax has been paid due to his employer not declaring the correct company car amount). They've advised that his current tax code (1100L) should be something else (basically taken his car benefit off the £11000 tax free allowance) and have changed his tax code.

I assume this is not right as he's been paying tax on his car benefit since the start of the year anyway as they've been paying his car benefit monthly. Surely HMRC should be aware his company are doing this?

[bd6759]

Surely HMRC should be aware his company are doing this?

Phone HMRC and tell them.