Her Majesty's Revenue and Customs (HMRC) has posted a guide on YouTube helping employers to get their records up to scratch.According to HMRC, in 2009/2010 it received 500 tax returns with an employee listed as 'A N Other', 824 workers with the surname 'Unknown' and 40 listed as aged 200 and over.
These mistakes arise from employers not rigorously entering accurate details when an employee first starts work and will lead to more contact from employees and HMRC trying to get such issues resolved.
Incorrect details can affect an employee's access to benefits and lead to them paying the wrong amount of tax.
HMRC said: "Accurate information can save time and money."
Key details for employers to ascertain are a new starter's full name, date of birth and national insurance number.
As well as getting financial records in order, firms looking to take on new staff should ensure that their business insurance policies cover these new workers and the work they are going to be undertaking.
