Problem or do I?

granit

Ok I have a question in relation to payment by cheque for a “cash” deal.

Around 3 or 4 years ago while working for another company I carried out some paper work for a construction contractor and was paid a total of €7,000 in two cheques one for €5,000 and one for €2,000. I am not Vat registered nor do I have a C2, as I am not a company/business or a sole trader. I am just a normal paye worker. So this was a cash deal but I was paid by cheque as at the time he couldnt get the cash. I never heard from the contractor from then, until about 2 months ago he rang me saying he is currently being audited and that I owe him 35% of the money due to me, not having the correct rct/tax forms etc, he also asked me for an invoice and vat number neither of which I produced at the time of payment or since, as I do not have a vat number or any invoices or the like.

The contractor was/is aware this was a cash deal; however he did pay by cheque and I lodged them into my bank account. Where do I now stand with regard to this? Am I liable for any tax penalties or should I even declare anything? I have this guy hounding me now for the money as he says I am liable for the 35% and that he can follow the cheque and prove I lodged the money should I not pay him he is going to put the revenue onto me and so on. I did indeed lodge the money to my bank account and I have long since spent it.

I have been informed by some people not to be worried as the contractor is responsible for his own company’s cheques and so on with regard to stopping tax etc, and that I have no one to answer too and that if people start asking I should just deny getting paid anything as the cheque just had my name on it.

Anyone been in a similar position??

Spear

Consult a solicitor, all legal advice is banned site wide.