# Revenue audit for PAYE employee



## confused (10 Jul 2009)

I am a PAYE employee that is getting a Revenue audit! Has anyone ever heard of this before? I rang the guy in the revenue, thinking it was a mistake, but he confirmed that he is comming to my house for the audit. I have to take a day off work for this. Is this normal????


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## papervalue (10 Jul 2009)

*Re: audit!!*



confused said:


> I am a PAYE employee that is getting a Revenue audit! Has anyone ever heard of this before? I rang the guy in the revenue, thinking it was a mistake, but he confirmed that he is comming to my house for the audit. I have to take a day off work for this. Is this normal????


 
It Would be uncommon if you just a paye employee. 

What do you think has drawn their attention to you? eg undeclared income of some source, cash work. property etc

Can you think of any reason?


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## Graham_07 (10 Jul 2009)

*Re: audit!!*

In 20 years of dealing with Revenue I have never encountered a Revenue audit on a taxpayer who was PAYE only with no other sources of income/gains.

Have you any sources outside of PAYE ? Have you had any Capital disposals possibly giving rise to Capital Gains Tax ?


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## wheeler (10 Jul 2009)

*Re: audit!!*

Did they issue a check list on what they expect you to produce on the day?


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## confused (10 Jul 2009)

*Re: audit!!*

I would consider myself a middle income worker. Have no second house or sourse of income. I have worked for the same company for the last number of years.

The audit letter states the audit is from 01/01/07 to 31/12/09. ?? This is why i thought it was a computer error, and they thought I was some type of business.

Deep down I thought that the Auditor realised the error and is to proud to admit the error, so will proceed to waste my time and he will put in for his expenses on the day.

Several years ago i was self employed for around 12 months, but that is many years out of the timescale of the audit.

Do the revenue really have so little to be doing to have to audit the little man? Can I get an advantage out of this audit in any way? Is there any way I could get money back, considering I will have the full attention of a revenue guy sitting at my kitchen table (eating my biscuits)?


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## papervalue (10 Jul 2009)

*Re: audit!!*

It sounds like a complete waste of time. At max it should be a desk audit at Revenue office.

I would ring again, and if only thing you have is a P60, tell them that. Ask them reason for the visit.

If they are coming go through you personal bank statements to make sure all lodgements can be accounted for.


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## Graham_07 (10 Jul 2009)

*Re: audit!!*

Firstly and most importantly make sure they are chocolate digestive biscuits as most Revenue auditors are partial to them 

An audit for in excess of 1 year is not unusual but it would seem that you do not fit the profile of normal audit cases. Perhaps your tax number was not formally ceased on Revene records after the self-employment. As papervalue has said I'd contact them again.


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## Setanta12 (10 Jul 2009)

Stamp Duty for FTBs.

If you are where you say you are, the I imagine it'll very quickly be over. Otherwise if you have to come up with a reason as to why you can't access your PPR ... ... trouble!

They also used to do this for taxi-drivers - assess the means of the taxpayer i.e. can they really live on such a low income (watching out for 2nd cars in driveways, plasma-screens or their equivalent back then, lodgers, ashtrays (!) etc etc)

(All the above is just a guess on the purpose of the visit, btw)


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## dereko1969 (10 Jul 2009)

any significant claims on your med1/2? or other tax credits?

is it an all tax head audit?

have you annoyed anyone recently who may have made up a story about undeclared income and reported it?

were you asked to fill in a form 11 over the past few years?


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## confused (10 Jul 2009)

i have had a form 11 sent to me every year for the last couple.

no big deal, just filled it in. Nothing to declare etc. just the old P60 rubbish.

strangely enough, I am joint assessed with the wife, and the auditor said that she doesnt need to attend the audit. (??)

Btw, Setanta12, what's PPR?


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## mathepac (10 Jul 2009)

confused said:


> ... what's PPR?


Take your pick - 


PAYE Person's Refuge
Persuasively Poor Residence
Permanently Pledged Residue
Partner's Preferred Retreat
Partly Paid-for Rest
principal private residence (this one).


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## callybags (10 Jul 2009)

Pointless Posted Rhetoric

(Sorry but it is Friday)


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## papervalue (10 Jul 2009)

Please keep the forum updated with the results of the Audit Visit. It would be interesting to see the reason he called to you. I would think now their is very few random vists and the computer profile must have generated some thing about your situation or some information came about from another audit to do with some one your connected with such as your employer, relation etc.

I think if this became an more common occurence, the revenue would collect money from it. I know of a paye employee who bascially built an house extension, where their is little proof of how it was funded. He was getting materails from employer in return for overtime which is tax evasion. All the Revenue would have to do is value extension take out what looks offically financed and tax the rest. Same person is now about to get a new fridge(dear one) paid for by employer( more than likely shop will put a different description of the invoice).


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## Graham_07 (10 Jul 2009)

confused said:


> i* have had a form 11 sent to me every year for the last couple.*
> 
> *no big deal, just filled it in.* Nothing to declare etc. just the old P60 rubbish.
> 
> ...


 
Forget about the only PAYE income. The reason for the audit is now clear, it is simply that you were a self-assesed taxpayer in those years by virtue of filing Forms 11 and all self-assessed taxpayers are subject to Revenue audit. That seems to be a hangover from your former self-employment and should be cancelled & go back on Form 12 filing from now on.

You may be jointly assessed but you are obviously the assessable spouse hence it's you they want.

You will unfortunately have to proceed as outlined in the audit notice.


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## Doozie (10 Jul 2009)

If you are no longer self-employed and do not have non-PAYE income, you should not be completing a Form 11 and need to notify your tax district.

This may have triggered a conflict with your PAYE status, or the intervention may be a check to verify an issue that has arisen in an intervention or audit elsewhere e.g a payment involving a bank account which can be linked to you. Your audit letter should have indicated under which taxhead you are being examined.


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## papervalue (10 Jul 2009)

If the reason is self-assessed ceasation date never entered and continue to file form 11- 

Give the Auditor a phone call and explain situation, and them if he still wants to come out, let them- From cost/benefit analysis point of view it looks like an awful waste of tax payers money for a day when he should be out investigating genuine cases of non-filing.


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## confused (10 Jul 2009)

Thanks for all the input! Appreciated. Obviously I dont need to lose any sleep over it.
The audit is soon, and I will update ye with how I got on.


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## micheller (10 Jul 2009)

Similar thing happened us this year.
If you are totally PAYE now and content that your self employed business is over, you need to ring them and ask to send you the form to cease any records of self employment and make you PAYE only.

If you do not do this, and then in any year try to complete normal PAYE processes like MED1, balancing statement etc. you will be told to complete it all on your FORM11 at year end- which is incorrect and major pain.


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## Black Sheep (15 Jul 2009)

It appears you did not de-register from self-employment when you returned to PAYE


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