As an Employer should you be encouraging your employees to open a personal tax account with HMRC. Any taxpayer can activate their own personal tax account at:
Once activated, taxpayers can use the account to notify HMRC of a change in their financial circumstances or address, etc. In addition, they can also:
- Update the information on the benefits received such as company car or medical insurance. Keeping HMRC informed of such changes as they occur will help to ensure the correct amount of tax is deducted from their salary
- View and print a copy of the pay and tax details for the previous 4 years.
- Claim tax relief for business expenses, such as cleaning their uniforms or replacing their tools.
- Print proof of their national insurance number.
- Check their state pension entitlement.
- Claim a tax repayment, if relevant.
- Check their tax credit payments, make changes to their circumstances and complete their renewals.
Anyone who has had the misfortune of trying to contact HMRC via the telephone will be only too well aware of the length of time left “hanging on” before the call is eventually answered. The Personal Tax Account will prove a quicker alternative in many instances.
Please note: This article is a commentary on general principles and should not be interpreted as advice for your specific situation.