This is probably the main reason why I prefer to work PAYE…
More than 1,000 lorry drivers have been left owing large sums of tax after claims the accounting company they used disappeared with the money.
They say they were encouraged by agencies to set up as limited companies and use the services of the now-defunct Lincoln-based firm Think Accounting.
An HMRC inquiry is under way after drivers were hit with unpaid tax bills.
Company owners Lee Wilson and Symon Williams Cooke did not respond to BBC requests for a comment.
It is alleged the pair, who were not qualified accountants, worked with HGV driving agencies, paying agency staff commission if they encouraged the drivers to set up as limited companies with Think Accounting.These limited companies and the tax they were liable for were administered by the firm on the drivers’ behalf.
Drivers were given a small weekly wage plus expenses and dividends and say they believed the firm was paying the correct level of tax owed.
One of the affected drivers, Ian Hannon, said he received a tax bill for £11,500 after dealings with the company.
“My national insurance, my corporation tax, my VAT - Think Accounting had not forwarded anything on to the relevant parties to the tune of £11,500.”