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Ash
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
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I have worked car dealer since March 2015. I have a company

Resolved Question:

I have worked for a car dealer since March 2015. I have a company car but have not paid tax on it.
The company has just sent me a copy of a P11D showing tax value of £4660.00.
When i started i had to complete a P46. Nothing about a company car tax deduction.
Who is responsible now because the HM Revenue and customs will want the tax paid.
Submitted: 1 year ago.
Category: Law
Expert:  Ash replied 1 year ago.

Hello my name is ***** ***** I will help you.

Do you complete a self assessment Anually?

Customer: replied 1 year ago.
No I don't complete a self assessment as I am employed by the company.
I thought it was there job to notify and inform me
Customer: replied 1 year ago.
I was told verbally that they did not tell HM Revenue as other people didn't pay company car tax?
Expert:  Ash replied 1 year ago.

Its bad news I am afraid. It your tax and therefore even though you are PAYE you would be liable for the underpayment.

This is because you would have had to needed to pay tax on it anyway.

So you had earnings which should have had more tax deducted.

So your employer may have been negligent but you would have received less as it should have been taxed.

Sadly you are liable.
I am sorry if this is not the answer you want and certainly not the one I want to give you, but I have a duty to be honest.

Can I clarify anything for you about this today please?
Alex

Customer: replied 1 year ago.
Thank you Alex.
But I do feel that I should not be liable foe something that the company has failed to do.
As you said they have been negligent also in this matter.
By not completing or getting me to fill in the correct tax forms for when i started.
Expert:  Ash replied 1 year ago.

But you would have received a reduction in wages anyway, so in reality you would have paid it.

But the law says you are liable to HMRC, you can try and sue your employer but you would have had reduced payments in any event.

Does that clairfy? Alex

Customer: replied 1 year ago.
but what I need to know is that the company was as much responsible for notification to HMRC as I was.
They knew the situation
Expert:  Ash replied 1 year ago.

They were responsible for notification, but YOU are liable for the tax.

Does that clarify?

Customer: replied 1 year ago.
I understand I am liable to pay the tax. But if they didn't notify HMRC surely they are also accountable partly for this mess.
So could I demand they help with repaying the un paid tax.
Or do I get HMRC to investigate the issue
Expert:  Ash replied 1 year ago.

Yes. But you cant demand they help to pay it - they cant pay it for you.

They can assist in that it is paid by instalments, but thats it.

Does that clarify? Alex

Ash and 2 other Law Specialists are ready to help you
Expert:  Ash replied 1 year ago.

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