I joined them after recommendation, looking for a PAYE payroll service.
They said I had to be taxed at 42% as a high rate earner.
After a 3-4 months when I asked for a P60 they presented a minimum taxable amount. Rest of the net income came into a form of a dividend voucher. They also gave me a statement of earnings clearly saying gross and net amounts.
I was receiving weekly payslips with Gross pay and net pay and NI deductions but also with a strange ‘Tax and expenses’ line on the bottom left of the payslip but it never crossed my mind that they would deviate from a pure PAYE service into something I still can not comprehend.
Despite all these discrepancies they keep reassuring that they will pay the tax when they calculate their tax return just before January.
They said that they deduct what they agreed with me(the take away percentage) and when they complete my tax return they will calculate the tax due on my income with them and pay this to HMRC.
If they have deducted more tax than was needed they keep that as part of their charges, I don’t get any back.
That was not explained to me when I decided to go with them.
They also won’t pay tax due on any other income I may have such as tax due on any other dividends that I may have.
If they are going to pay the tax that is owed.. I am wondering..... on what income basis do they pay this tax for?
They have already generated a P60 for my employment and paid a minimum tax on it..... so that is what is declared... correct? Rest vanished
If they were to pay the tax owed they would have to generate another P60 which is not possible, right?
Do they pay a collective tax for all of their employees then as a company? I do not get it.. How they justify the rest of my gross income coming in their pocket, as what?.. as Ltd’s income, paying 20% tax?
Someone shed some light explain please, how do they operate..?
Thanks.
They said I had to be taxed at 42% as a high rate earner.
After a 3-4 months when I asked for a P60 they presented a minimum taxable amount. Rest of the net income came into a form of a dividend voucher. They also gave me a statement of earnings clearly saying gross and net amounts.
I was receiving weekly payslips with Gross pay and net pay and NI deductions but also with a strange ‘Tax and expenses’ line on the bottom left of the payslip but it never crossed my mind that they would deviate from a pure PAYE service into something I still can not comprehend.
Despite all these discrepancies they keep reassuring that they will pay the tax when they calculate their tax return just before January.
They said that they deduct what they agreed with me(the take away percentage) and when they complete my tax return they will calculate the tax due on my income with them and pay this to HMRC.
If they have deducted more tax than was needed they keep that as part of their charges, I don’t get any back.
That was not explained to me when I decided to go with them.
They also won’t pay tax due on any other income I may have such as tax due on any other dividends that I may have.
If they are going to pay the tax that is owed.. I am wondering..... on what income basis do they pay this tax for?
They have already generated a P60 for my employment and paid a minimum tax on it..... so that is what is declared... correct? Rest vanished
If they were to pay the tax owed they would have to generate another P60 which is not possible, right?
Do they pay a collective tax for all of their employees then as a company? I do not get it.. How they justify the rest of my gross income coming in their pocket, as what?.. as Ltd’s income, paying 20% tax?
Someone shed some light explain please, how do they operate..?
Thanks.
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