2 jobs - tax and tax code question?

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  • capehorn
    capehorn Posts: 987
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    Out of curiousity, if you have two part time jobs, one earning 4K per year and another earning 3K per year, would you be taxed 25% on the second one?? I thought the £5030 annual allowance protected against that.
  • jem16
    jem16 Posts: 19,393
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    Yes you will be taxed on the 2nd job at 22% not 25% unless you try to sort it out with the tax office. Otherwise you have to claim a refund at the end of the tax year.
  • capehorn wrote:
    Out of curiousity, if you have two part time jobs, one earning 4K per year and another earning 3K per year, would you be taxed 25% on the second one?? I thought the £5030 annual allowance protected against that.

    You would need to contact your main tax office (the one dealing with the £4000 job) let them know you have 2 jobs and how much you earn at each. They will keep 4000 of your tax free allowances to set against you main job ..the remainig 1035 can be set against the 2nd job
    I have had brain surgery - sorry if I am a little confused sometimes ;)
  • bootman
    bootman Posts: 1,985
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    I have tried to get my tax codes split but the main tax office wont do it. I have recently started a 2nd part time job, this one will be my main one earning £7k a year. The other £2k.

    They have sent me finally a new coding notice for job 1 today of 585T and saying job 2 which is with another tax office will be BR.

    They say I get the £5035 + 822 so I get the benefit of the 10% rate. I really dont understand the coding notice.

    I have already paid over £200 in tax as it has taken them 4 weeks to issue a notice.
  • jem16
    jem16 Posts: 19,393
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    Your personal allowance is £5035 - this is tax-free. The next band is 10% for the first £2150 of your taxable income. This means that if you earn at least £7185 in your first job, anything after that is taxed at 22% which is the basic rate. Normally a 2nd job is taxed at BR which is basic rate, 22%.

    Your code of 585T means that you have £5850 of tax-free allowance - probably to make up for that part of your 10% allowance that you are not using on your 1st job. BR then is correct for your 2nd job.
  • oldwiring
    oldwiring Posts: 2,452
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    To adjust for the unused 10% band that would have been used on job #2. if the system had allowed it, the coding on job #1 has to be amended. As the difference in tax rates is 12% (22-10) the unused part of the band is divieded by 0.12 and that amount is added to the basic allowance given on job #1.
  • sva14
    sva14 Posts: 121
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    Thanks For The Replies
  • Hi, i have a part time job in a supermarket where i earn just below the threshold for being taxed (about 86 pounds a week). i have recently got a new part time job where i will be earning about 60 pounds week on top of this. i rang the tax office and told them and they said i need to get a P46 off of my new manager, but when i asked him he said they will tax me at emergency tax on my new job, not my old job, and i dont need to send off a form as this new job isnt my main job. sorry if this is a bit confusing, just not sure what i should do and what tax code i should be on for both jobs? could someone please tell me?
  • tigtag02
    tigtag02 Posts: 6,857
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    If you are below the threashold on both jobs you are better having your tax code split which only that tax office can do.
    However, they need to know that you work there first.
    Fill out a P46 at your second job and tick box C (This is not my only job).
    This will put you on a BR (not emergency) tax code.
    Leave it a week or so and then contact HMRC to discuss splitting your code.
    HTH
    tt
    :heartpuls baby no3 due 16th November :heartpuls
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  • I am a director and 50% shareholder of a web development company but I also have a day job in order to help pay costs as we are a newly formed company.
    I am looking for information on a number of points.
    1. Can anyone give me a basic overview of all the taxes i will encounter being a director?
    2. What effect does being taxed as a director and owner as well as being employed in a job have?
    3. Any helpful advice or extra information would be grateful as I want to understand the taxing of a business and an employee as best as possible.

    Thanks a lot

    Daniel Smith.
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