Income tax demand notice

k mac

Sorry if posting in the wrong forum but was looking for some advice and hoping someone here may be able help .My situation is i am a full time paye worker but also rent a very small farm more as a hobby than anything. Now even though the farm turns no profit i go to a accountant to file a tax return and when doing so last year for the 2010 yr my accountant said i had underpaid my paye tax for that year which i found hard to figure as i had not been off work for any lenght of time or anything . Any way thought thee reason might be because i had bought a bike on the bike to work scheme and with the tax benefits involved thought that might be the problem .To make a long story short my accountant was supposed to check it out but never did and recently i received a demand notice , again my dilligent accountant was supposed to check it out but i never heard a word so took it upon myself to contact the revenue and was told by the person i spoke too that she knew very little about bike to work scheme but she did not think that was it the problem was my employer had not taken enough tax off me and to contact them . So i did that and my wages office informed me that they had taken the correct amount to the penny . So rang revenue again and the lovely public servant on the other end basically told me i had to pay it , that was it before swearing down the phone at me obviously the poor dear had used up all her self cert sick days and was tired ! Now this is why i am looking for some advice here with such a helpful accountant and pleasant revenue staff and my question is , is it possible that my wages office and the revenue both be right and this is just something that can happen or is someone wrong with the figures.Sorry about the long post hopefully someone can help .

dbran

Hi

I am afraid that this is indeed something that can just happen. The PAYE system can become incorrect for a number of reasons such as tax credits being incorrectly applied etc.

If you have the notice of assessment you should check the figures are correct.

Regards

dbran

relax carry on

k mac wrote: »

Sorry if posting in the wrong forum but was looking for some advice and hoping someone here may be able help .My situation is i am a full time paye worker but also rent a very small farm more as a hobby than anything. Now even though the farm turns no profit i go to a accountant to file a tax return and when doing so last year for the 2010 yr my accountant said i had underpaid my paye tax for that year which i found hard to figure as i had not been off work for any lenght of time or anything . Any way thought thee reason might be because i had bought a bike on the bike to work scheme and with the tax benefits involved thought that might be the problem .To make a long story short my accountant was supposed to check it out but never did and recently i received a demand notice , again my dilligent accountant was supposed to check it out but i never heard a word so took it upon myself to contact the revenue and was told by the person i spoke too that she knew very little about bike to work scheme but she did not think that was it the problem was my employer had not taken enough tax off me and to contact them . So i did that and my wages office informed me that they had taken the correct amount to the penny . So rang revenue again and the lovely public servant on the other end basically told me i had to pay it , that was it before swearing down the phone at me obviously the poor dear had used up all her self cert sick days and was tired ! Now this is why i am looking for some advice here with such a helpful accountant and pleasant revenue staff and my question is , is it possible that my wages office and the revenue both be right and this is just something that can happen or is someone wrong with the figures.Sorry about the long post hopefully someone can help .

Check your P60 for 2010, it may be that you were on a paid on a week 53/week27/month13 basis which might account for the underpayment. The P60 should note it in the top left hand corner. If its the case then the review needs to be looked at again. Otherwise, just email Revenue with your query asking them to provide an explanation for the underpayment. It may take sometime but at least you will have your answer and in writing.

viztopia

If you wanted to pdf me a few documents I could look at these and with a good level of certainty I could tell you where the problem is. I would be looking for your p.60, income tax assessment etc. You would black out your pps number and name to protect privacy.

JD Dublin

viztopia wrote: »

If you wanted to pdf me a few documents I could look at these and with a good level of certainty I could tell you where the problem is. I would be looking for your p.60, income tax assessment etc. You would black out your pps number and name to protect privacy.

Alternatively you could use a site like www.hookhead.com ( I have no connection to this site BTW ) to check that your calculations are being done correctly. AFAIK here were no changes in the tax rates and credits as between 2011 and 2012 so you can use the 2012 version of their payroll calculator

lakill Farm

PM