TAX TITBITS - 26.10.2006

It’ll cost you too much

How much? An advisor who specialises in NI/PAYE had the Taxman asking for complete payroll records on disk for computer interrogation, in a similar way as the VATman. The advisor’s general policy is to provide this information unless it is onerous to do so. His client was quoted £1,500 by their payroll bureau to provide the necessary on a disk. The advisor sent that quote to the Taxman and said, “that’s the cost of the data if you still want it”. Needless to say the Taxman didn’t take up the offer!

Tip. Quickly work out the cost of providing the Taxman with what he wants on disk. If it’s going to cost you a packet write back saying his request is too onerous for you to comply with and quote the amount. It’s always worth doing this as it may make him withdraw his request. Less hassle for you and weaker fishing rights for him.

If the Taxman asks you for complete payroll records on disk for computer interrogation find out the most expensive way of doing this. Then quote him unhappy. He might just go away.

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