£250 online filing incentive

How do I show this when I file online in the next few days?

Last year we filed our end of year PAYE return on-line. In one month in the subsequent year we held back £250 of what we should have paid to the revenue for that month's Tax/NI.

Now, with the on-line filing due again I'm confused about how to fill it in this time.

To explain my confusion, let's assume that for the tax year just gone I should have paid a total of £10,000 in tax/NI. But because we held back our £250 incentive fee we only paid £9,750 on the assumption that our PAYE account would have been credited with the incentive fee.

Now, from memory, there are two boxes towards the end of the return; one says how much have you paid for the year, and the other says how much should you have paid for the year. The difference being what you owe them, or they owe you.

My question is this...

Should I say...

I've paid £9,750

I should have paid £10,000

Therefore, I owe £250

(assuming my credit will cancel out the difference)

Or, should I say...

I've paid £9,750

I should have paid £9,750

Therefore, I owe £0

I guess there's a third option which more closely reflects the situation...

I've paid £9,750

I should have paid £10,000

Therefore, I owe £0

(assuming my credit will cancel out the difference)

I suppose it's possible their online system already knows about the credit/incentive and makes it all clear, but somehow I doubt it!

Look forward to your advice.

-- notahappyman