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PAYE HMRC Dispute Queries

05 - 09 - 2025

From 31 August 2025 HMRC are no longer accepting queries over PAYE via telephone or webchat.

Who does this affect?

 

The service should be used by:

 

·         PAYE Employers

·         Agents, such as an Accountant, acting on behalf of a PAYE Employer

 

What issues does this service address?

 

You can use this service to get help from HMRC if you think your employer PAYE bill is incorrect and you:

 

·         Need help finding the payroll mistake or correcting the error

·         Have been unable to fix the issue using GOV.UK guidance.

 

What information is required to use the service?

 

You will need:

 

·         Employer PAYE reference number

·         Employers Accounts Office reference

·         Business UTR

·         Number of employees in the business

·         Details of any Full Payment Submission (FPS)

 

How is the service accessed?

 

The service is accessed through the Government Gateway. A reference will then be emailed once the request has been submitted.

 

How quickly will HMRC deal with the enquiry?

 

HMRC should contact the enquirer by telephone or email within 40 working days to discuss the FPS information and help correct the payroll records.

 

If you would like help with any of the above please do not hesitate to contact us on:

01244 625 500 or 01978 364 000

contactus@foremansllp.com

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Fixed Data

Assumptions

General                                                                                                                              

• The user is over 21 and subject to tax in the UK
• The user wishes to minimise their tax liability
• The user is subject to national insurance i.e.he/she is not over retirement age
• Only current tax rates and limits are applied
• No tax mitigation payments are made e.g. pension contributions
• Only 3 digit letter 'L' tax codes shown in the drop down list can be entered 
• The user does not have a turnover greater than £100,000 where fewer reliefs and or higher taxes may apply

Expenses

• All miles claimed as expenses are for business use using a personally owned car or van
• All other expenses claimed are wholly, necessarily and where appropriate exclusively for the benefit of the business

Foremans LLP Charges

• Foremans fees associated with Limited Company, Sole Trader or Umbrella are as per published rates
• Foremans current Service Costs are allowed for in all calculations.

Holiday Pay

• Holiday pay is accumulated week by week by Umbrella or Agency employer but paid out during the year

VAT

• Limited Company or Sole Trader will be VAT registered
• Limited Company or Sole Trader will take advantage of Flat rate VAT
• Flat rate applied includes the benefit of the additional 1% applicable to the first year of VAT registration

Limited Company Conditions

• One director / one shareholder in a Personal Service Company
• Director of Personal Service Company elects to vote for 100% dividend after salary, costs and expenses
• Director's salary is maximum salary to the primary threshold for NI
• The Limited Company is trading normally i.e it is not subject to IR35 and is not a Managed Service Company

NOTES

• The Current tax rates are taken from the Fixed Data Table
• The current Value Added Tax Rate is 20% and is applied to all invoices and expenses as appropriate
• The Director's Salary is fixed in relation to National Insurance thresholds. Higher Rate Taxpayers should consider the advantages and disadvantages of a larger annual salary or bonus
• Higher Rate Taxpayers may wish to consider the advantages and disadvantages of shared ownership of their business
• Users with a tax code other than three digits and letter "L" may telephone or email our Development Department to request a detailed calculation
• Generally the use of an Umbrella rather than an Agency payroll is only efficient if sufficient weekly expenses are allowable and claimed
• The expenses claimed under an Umbrella should not prevent the proper operation of National Minimum Wage