Data from HMRC shows the department received over 500 tax returns with the name ‘A N Other’ in 2009/10.
Other false names included 824 names with the surname ‘Unknown’, 572 names with the surname X and 75 names with the surname ‘Casual’.
It is not only names that were incorrect, 40 people were registered as over 200 years old.
HMRC say inaccurate details can cause incorrect amounts of money to be deducted from employees’ pay and waste valuable time and money.
Jim Harra, HMRC director of customer operations, said: “Most employers get their PAYE returns right. The few who don’t can cause problems for their employees, for example, incorrect deductions of tax.
“Around 80 per cent of errors in employee data are due to an incorrect name, date of birth or national insurance number-straightforward information that can be collected and checked quite easily.
“So, whether you are employing ‘Mr or Mrs J Smith’ or even ‘Mr or Mrs A N Other’, please use the full and official name on your PAYE paperwork.”
For more information on filling in PAYE forms, visit http://www.hmrc.gov.uk/rti/employerfaqs.htm#7