To assume that hmrc is still being paid?

[Taxtaxtaxtax]

Payroll has put a negative on my tax in the calculator so the software has done a -(-XXX) and actually added the value for my final payout into my bank.

It’s new, only been last 2 months.

Is the tax still being paid via them and their losing out or will I get a mahoosive bill in April?

How does it work mechanically between employers and hmrc, employer pays for me so doesn’t it just come out of their account?

Do you mean e.g. your gross pay is £1000, your tax is listed as -£200 so you should get £800 but you're actually getting paid £1200?

You need to speak to payroll. They're going to want that £400 back at some point!

Yes

Your tax code could have been adjusted if you’ve overpaid tax and are due a rebate. Best course of action is to contact hmrc to query your tax code, also ask your payroll why they changed your tax code.

On your payslip your should have a tax code that shows your tax allowance. Yours should have changed to reflect the credit you are currently receiving.

Put the 400 to one side to return, and ring payroll asap. You won't be "in trouble" etc for HMRC not being paid if that is indeed what's happened, the obligation for PAYE is on the employer to withhold & remit. Either way you will definitely have to give the money back, probably via deduction from next month's pay.

Have you had time off work, or has your pay dropped for any reason?

@FluffyBooBoo

Have you had time off work, or has your pay dropped for any reason?

Yes. Hang on let me check tax code like PP suggested.

I had a refund for last tax year so I’m not expecting this?

My tax code hasn’t changed from before to after this change in positive/negative.

I don't quite understand, no one works tax out by hand and then types it into the computer it's all done automatically by the payroll software. It's very unlikley that would have gone wrong, isn't more likely that you had been paying too much and now it's being corrected.

@SirensofTitan

I don't quite understand, no one works tax out by hand and then types it into the computer it's all done automatically by the payroll software. It's very unlikley that would have gone wrong, isn't more likely that you had been paying too much and now it's being corrected.

Exactly - and payroll departments have no control on your tax code or the calculation.

They get my pay wrong A LOT so I assumed that would be the case here too?

Why would it go to negative, if when I experienced the exact same reduction of earnings in the previous tax year this didn’t happen

@Taxtaxtaxtax

They get my pay wrong A LOT so I assumed that would be the case here too?

Why would it go to negative, if when I experienced the exact same reduction of earnings in the previous tax year this didn’t happen

Was the same reduction at the same time of year? If it was earlier in the tax year then you wouldn't have paid as much tax, so there would be less to refund.

It's possible that its correct, but ask your payroll dept.