What a nightmare!!

[OhWhatAMess]

Also posted in "Employment Issues" but we really need legal advice. We are in Scotland though!

Basically, DH has just found out that his company have not paid his Tax or NI for the last year.

Not only this but they are trying to force them to go self-employed next year to get out of paying this tax back and expect them to pay their own tax bill at the end of the year despite only receiving the same net salary!

He is concerned now that the IR might come after HIM for this non-paid tax even though he was unaware!!

Could this happen?

And can his company really do this??

Obviously he is looking for a new job. The current company also have a 6 month notice period in his contract, but I assume this will not apply as they have totally breached his contract?

We are very worried, hurt and upset by this.

They say they MIGHT pay his tax as a "non-guaranteed bonus", but we wouldn't hold out much hope, and this is clearly making a large part of his salary "non-guaranteed".

God, I have no idea.

You need to get some proper advice - perhaps book an appointment with CAB?

Have you contacted IR directly?

Do you have pay slips indicating that the income tax and NI have been deducted? If so, then it sounds like the company have committed fraud.

Anyway, someone will be along in a minute who actually knows what they are talking about.

We don't have recent payslips, they have always been a bit lax about sending them but have always provided them when asked, so we didn't think anything of it.

As far as we know the employers have been told IN COURT to pay the tax, and are trying to get out of it/pay less by making them all self-employed.

I would contact the CAB, you can email them if you feel you would get upset talking to them, failing that the job centres have advice shops which can help on things like this.

i presume he has a contract and bank statments showing regular salary payments?

Yes he has both of those things....

Thinking about the CAB, or an employment lawyer if we can afford it.

Tax and ni will be liability of the company if your dh has pay slips showing the deductions its a no brainer.

Also if your dh is an employee it will be very difficult for them to make him self employed. There are very strict rules over this and you/your employer cant just pick and chose the tax status. If they say your dh is self employed and then dont pay the tax over the tax man will still chase them for the tax and levy fines on them.

Its fairly cut and dried unless your dh is a subcontrator or similar.

Word of warning if they havent paid the tax and ni over they will be in very dire straits as the tax collectors will undoubtedly be chasing the payments due.

The tax collectors will have the power to issue winding up orders on the company and force it into insolvency. In fact if they havent paid for a year I would say its likey that this could happen very soon unless they pay quickly.

Thanks. Unfortunately we don't have payslips, as obviously we weren't given them but trusted the company so didn't bother chasing them up before we needed to - silly us!!