They are saying that they have checked a tax return I submitted for fy 10-11. And an ex-employer are saying they paid me a lump sum from their pension scheme of over £2k, which I haven't declared so I owe £500 odd quid plus more for late payment fees.
I don't recall ever getting a lump sum, or requesting one. And if I had requested a lump sum payment if it was for the balance of my pension fund with that employer it would be about £30k not £2k. And can you even do that? Request a pension payment in a lump sum???
Have got an email address to contact ex-employer but can any one advise?
Sounds very strange.... although timings wise they are catching up on 10-11 queries recently so the fact you are hearing about it now doesn't surprise me.
Pension thing is odd - I would check that you haven't claimed via your SA accidentally for a pension which is benefited at source directly to the pension co. That is a usual error, much more likely than some weird lump sum (is that even allowed ) at a random time.
Talkin OP mentioned in post that she received a letter from HMRC saying they have checked her return for 10-11, so I assume she did! Pension errors on return are quite common ime. Question is quite ambiguous in its wording iirc.
Ipanema you are right but the little dears at HMRC are great at talking about returns when there were none
Dosh Well done on keeping all your stuff. Your best bet will be to check the numbers you have and write to HMRC asking for MUCH more detailed clarification of exactly what they are accusing you of. I had one of these that turned out to be a fishing trip so admit nothing till they clarify
if the pensions contribs were deducted from your pay by the employer, then you probably don't need to. Can't remember now, I don't have such a scheme. Sorry if I got it wrong. If you have a copy of the form to hand, it will probably say.
I suspect that it's a refund of your pension contributions by your former employer. Often, you have to stay in the scheme for a minimum period, e.g. two years, in order to retain benefits and if you leave before then you just get your own pension contributions returned to you. However, because you've had tax relief at source on your contributions, you then have to pay the tax.
As others have recommended, check your copy of your 2010/11 return. If you hadn't put anything in the pensions section, it's most likely that your former employer has told HMRC that it repaid your pension contributions to you gross.
BTW, HMRC do not bother with 'fishing trips' for relatively small amounts like this.
If they had repaid my pension contributions to me gross, how would they have done that? Would it not show as a credit on my bank statement during that period? Wouldn't I remember an amount like that suddenly arriving in my bank account from an employer I hadn't worked for for 6 years? Wouldn't they have to contact me to let me know they had made a payment to me and why?
If you left in 2006, it would be abnormal to receive a payment subsequently. And you should have been notified of it unless they did not know your new address. Ask the pension managers for a statement covering transactions since you left.
However, I did once receive a spontaneous payment to my pension plan due to mis-selling by a crook "adviser" who misled me into making a change which resulted in charges to me and commission to him, the company made the payment without me having initiated a complaint. I did get a letter about it afterwards.