Resolution Foundation. Increase Pensioner Tax

[Calahonda]

I fully expect my annual demand from HM Revenue and Customs for circa £80.00, in respect of my ‘unpaid’ tax. As all my income is treat on PAYE rules, how can I possibly underpay? The collection of this trivial amount must cost far more than £80.00, due to the volume of correspondence and plethora of paperwork.

 

If they learned how to calculate PAYE taxation correctly they would have more time to catch the real tax dodgers.

[alchresearch]

I fully expect my annual demand from HM Revenue and Customs for circa £80.00, in respect of my ‘unpaid’ tax. As all my income is treat on PAYE rules, how can I possibly underpay?

 

I've had one of those for the last couple of years too, although for about £40.

[Cyclone]

I fully expect my annual demand from HM Revenue and Customs for circa £80.00, in respect of my ‘unpaid’ tax. As all my income is treat on PAYE rules, how can I possibly underpay? The collection of this trivial amount must cost far more than £80.00, due to the volume of correspondence and plethora of paperwork.

 

If they learned how to calculate PAYE taxation correctly they would have more time to catch the real tax dodgers.

 

I imagine that your workplace makes some kind of minor error.

And surely the cost to HMRC is practically zero. They have computer systems that perform the calculation, automated printers, discount mail rates, they send you a letter for a cost of probably <£1 and you pay the £80. They recover £79.xx

Presumably you can double check the amount of tax you are paying, the relatively trivial calculation of how much you SHOULD be paying and then figure out whether the mistake is your HR department or HMRCs.

 

Just checking that you know that THEY in this case is not HMRC, it's someone in your HR department.

 

---------- Post added 15-05-2018 at 07:38 ----------

 

No - have I been trolled?

 

Almost certainly, have a look at his post history, he can sometimes be a little bit funny, but mostly he starts threads which are entirely obviously nonsense.

[Calahonda]

I imagine that your workplace makes some kind of minor error.

And surely the cost to HMRC is practically zero. They have computer systems that perform the calculation, automated printers, discount mail rates, they send you a letter for a cost of probably <£1 and you pay the £80. They recover £79.xx

Presumably you can double check the amount of tax you are paying, the relatively trivial calculation of how much you SHOULD be paying and then figure out whether the mistake is your HR department or HMRCs.

 

Just checking that you know that THEY in this case is not HMRC, it's someone in your HR department.

 

---------- Post added 15-05-2018 at 07:38 ----------

 

 

Almost certainly, have a look at his post history, he can sometimes be a little bit funny, but mostly he starts threads which are entirely obviously nonsense.

 

It would be very difficult for me to make an error as I am a retired 71 years old pensioner. HM Revenue and customs have total control of my gross state pension, private pensions and interest/dividends on my investments.

[Cyclone]

An interesting one, I suspect that HMRC don't have any control over your private pension though, certainly not over your dividend or interest payments both of which have different thresholds and different tax rates applied. Presumably your pension provider applies PAYE to your private pension, but since you have multiple sources of income perhaps you even fill in a self assessment form?

If you don't, then the correct probably comes from the fact that you have these multiple sources of income, and whichever organisation is actually applying PAYE is unaware of 1 or more of them and can't make the correct calculation.

 

PS - I didn't suggest once that you had made an error, I said "your workplace", you can substitute "pension provider" for that.

[truman]

I fully expect my annual demand from HM Revenue and Customs for circa £80.00, in respect of my ‘unpaid’ tax. As all my income is treat on PAYE rules, how can I possibly underpay? The collection of this trivial amount must cost far more than £80.00, due to the volume of correspondence and plethora of paperwork.

 

If they learned how to calculate PAYE taxation correctly they would have more time to catch the real tax dodgers.

 

I'm on PAYE as well,to be honest I've also had snmall descrepancies where I've either under paid or over paid during the course of a year..they do usually send a statement out which shows why...

[nikki-red]

Bickering and name calling has been removed. Carry on and you may find your accounts suspended.