I was working as a car cleaner in 05/06 self employed at the end of 06 I sent the hmrc a letter to inform them I was no longer self employed but now employed, since then I have being paying my tax via PAYE, and moved house. Three days ago I recieved a letter stating that they was going to take what I owed for national insurance contributions through my tax code, I phoned them and they also informed me that in total I owed over £3500?? I never received any self assessment forms in the post, just this letter.
Why would I owe so much, are they fines for not filling my self assements, in contributions what else could they be? Also it says they will start taking this from April I'm worried now as I have a young family and we really struggle as it is aswell having a dmp with step change due to previous credit card debts.
My boss has offered to pay for his accountant to try and resolve this on my behalf. Would this be a good idea or would I be better off on my own.
Will I still have to pay these fines through my tax code?
How do I resolve this?
Sorry for the 21 questions I'm just really panicking about it and annoyed that this was the first time I heard about it as far as I was aware they knew I was no longer self employed, they must know I'm now employed as I am paying tax via PAYE ? Any advice or help would be really appreciated I m not eating or sleeping through panicking about how much tax they will take and how I'm going to make ends meet.