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bigduckontax
bigduckontax, Accountant
Category: UK Law
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I received a letter from the inland revunue saying I owe

Customer Question

I received a letter from the inland revunue saying I owe them just under �4000 from unpaid PAYE relating to a business I had in 2010, I received the letter in first instance in January 2016, this was the first I heard about the debt! There has been more threatning letters and now they have turned up on my doorstep when I was out, I cannot prove I do not owe the money as I no longer have the records. What can I do ?
Submitted: 1 year ago.
Category: UK Law
Expert:  bigduckontax replied 1 year ago.

Hello, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question.

The Inland Revenue (IR) does not exist as it was amalgamated with HM Customs and Excise to form HMRC some years ago. There is a possibility that, if you have received a letter from the IR as opposed to HMRC, that this is a scam. HMRC do not simply turn up on people's doorsteps, they apply to the Courts, of which application you receive notice from the relevant Court, and if successful in their action they may well instruct a debt recovery agency in the matter.

I suspect that this is indeed a scam. Look carefully at the letter, if it is headed 'Inland Revenue' not 'Her majesty's Revenue and Customs' it definitely is a scam and should be reported to your local police.

I do hope that my reply has been of assistance.

Customer: replied 1 year ago.
Sorry it is headed HM Revenue & Customs, so could you tell me what I need to do and indeed if they can do this, and what my rights are?
Expert:  bigduckontax replied 1 year ago.

Well HMRC can go back indefinitely to recover unpaid tax except in Scotland where there is a 20 year limitation. However, my first approach would be to require HMRC to give chapter and verse on the alleged unpaid Income Tax and National Insurance deductions. By their own instructions you are not required to maintain PAYE records as far back as 2010. HMRC send out literally hundreds of incorrect demands so you will not be alone. My advice would be in the first instance to write to the office concerned and demand fuller and better particulars of the alleged debt. Also complain about harassment with people calling at your door.

Customer: replied 1 year ago.
This letter is headed HM revenue and Customs and it defiantly looks like the real thing. so can you tell me my rights as its been so long and I cannot prove either way if it has been paid or not, and what I should do.?
Expert:  bigduckontax replied 1 year ago.

I have suggested the appropriate approach. What address does the letter quote?

Customer: replied 1 year ago.
Ok thanks, ***** ***** do I do if they write back with the details and still claim I owe the monies?
Customer: replied 1 year ago.
they have sent me a liability statement with the amount owing breaking it down into tax £905.05 and Class 1 NIC £2354.05 and £564.99 in interest stating they are also charging me interest daily?
Customer: replied 1 year ago.
The address on the letter is DMB Campaign, Mr Ed Lewis, HMRC, DMB 340, BX5 5AB, and on the letter that was delivered through my letter box by hand has Debt Management, Field Force, HMRC, DMB 461, BX5 5AB
Expert:  bigduckontax replied 1 year ago.

This is a non geographic post code for HMRC used by the Post Office for mail distribution.

Wait and see HMRC's response. These days HMRC have a habit of referring alleged unpaid tax to a debt collection firm who, in my experience, become completely fazed when their approaches are challenged.