Taxing Mix-Up Leads to £450 Monthly Bill for Unwitting Job Swapper
In a bewildering blunder, HM Revenue & Customs (HMRC) mistakenly linked a person's national insurance number to that of another individual. The error has resulted in the taxpayer being taxed as if they have two jobs, earning double their actual income and paying an additional £450 per month in tax and NI contributions.
The issue arose during a tax code review after the taxpayer had changed jobs last year. HMRC's system mistakenly matched employment data to that of another woman who shared similar personal details, including name, address, and date of birth. The National Insurance numbers remained unaffected, but the consequences have been far-reaching.
After waiting 90 minutes for an adviser, the individual was told that it had not yet received around to resolving the issue. Thankfully, HMRC has since disentangled the two individuals and will refund the overpaid tax in their next payslip, along with £75 in compensation.
While the situation is concerning, the Information Commissioner's Office (ICO) noted that a data breach notification was not required as only basic details – name, address, and date of birth – were shared. The ICO's guidance suggests that this would typically be enough to trigger such notifications.
In a bewildering blunder, HM Revenue & Customs (HMRC) mistakenly linked a person's national insurance number to that of another individual. The error has resulted in the taxpayer being taxed as if they have two jobs, earning double their actual income and paying an additional £450 per month in tax and NI contributions.
The issue arose during a tax code review after the taxpayer had changed jobs last year. HMRC's system mistakenly matched employment data to that of another woman who shared similar personal details, including name, address, and date of birth. The National Insurance numbers remained unaffected, but the consequences have been far-reaching.
After waiting 90 minutes for an adviser, the individual was told that it had not yet received around to resolving the issue. Thankfully, HMRC has since disentangled the two individuals and will refund the overpaid tax in their next payslip, along with £75 in compensation.
While the situation is concerning, the Information Commissioner's Office (ICO) noted that a data breach notification was not required as only basic details – name, address, and date of birth – were shared. The ICO's guidance suggests that this would typically be enough to trigger such notifications.