doc - I cannot give you a definite answer to your query, but can point you in the direction of a firm of professional personal tax accountants that offer a free online advice service relating to the personal tax issues in your situation. If you drop them your question then they aim to respond within Six to Ten working days.

http://www.taxbuddies.com/advice.php

Meantime to research other forums simply place the words, "overpayment by employer" into Google, there are numerous forums and posters who have raised queries of this nature...perhaps one may be nearly identical to your problem.?

I have tried to keep it as simple as possible. Apologies for lengthy post.

I was overpaid by employer in december 2007. I notified them and the payment stopped. no contact was made by employer till april 2009 asking to pay back the overpayment.

now they are asking me to pay back gross amount whereas they paid me a net amount(after deduction of NI and Tax). I have tried negotiating with them but they do not understand the point . My point is they did the mistake and I notified them.

why should I be chasing inland revenue to return me the tax and NI as a result of their overpayment mistake?

why should I be paying an accountant to do the tax return for 2007-2008 as a result of their mistake?

they want me to make them gross payment and than contact HMRC for tax refunds. they have sent me now:) a P45 which was incorrect and on telling them they have sent me another one which is finally correct.

I wanted to know if their is a webiste or link where i can read issues relating to overpayment ?

Also advice by senior members as to where do I stand legally?

Many thanks for your help.