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Please help me understand my tax code change
Hello, I am in full time employment with a tax code 1303L. I have a second job which is on tax code BR. I recently updated my estimated income on the second job which will push me into the higher 40% tax bracket. My tax code for FT main job has now changed to 1054LX. Am I now going to pay more tax on main job? I was hoping…
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Adding BIK to self assessment
Sorry … tax question after days of googling without success 😬. I have a salary sacrifice car, the BIK reduces my tax code to 652L. I’ve submitted a tax return for the first time this year (HIBC) and HMRC have reverted my tax code back to 1257L. I spoke to them and they felt this was correct and are trying to give me a…
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Employer declaring pension contribution incorrectly to HMRC.
Good evening, Looking for some advice. As above my employer is declaring my Tax contributions to HMRC as a "Net pay arrangement" which would mean that my pension contribution is removed from my Gross salary and then taxes applied. However, i have compared my salary against the HMRC income tax calculator and i can see…
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HMRC demanding £14,000 repayment from a rebate
Hi all, Nightmare situation. In 2020 I filed a self-assessment, and the following year I was given a rebate of £10,000. I used it almost immediately, on urgent private surgery that I would have had to wait 5 years for on NHS (for stage 4 endometriosis). In 2023, I randomly received a letter from HMRC stating that they had…
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Tax calculation - payment on account seems unusually higher?!
Hey all, My calculation for 23/24 tax year seems off compared to previous year. So 22/23, Profit from self-employment £9,030.00 Payment on account x2 = £3,326.2 23/24, Profit from self-employment £12,573.00 Payment on account x2 = £6,241.86 So for the extra £3,543 I earnt in 23/24 I'm being taxed an extra £2,915.66?! I…
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Help! Capital gains tax, am I correct? Is it %10?
Is my working out correct please? Sold a small workshop the day before the budget so it is classed as commercial I believe. Transferred to me in 2019 for £80,000. Sold for £200,000 Gain = £120,000 - £1,824 selling fees = £118,176 Salary for April 2024 to March 2025 will be £44,200 - £12,570 personal allowance = £31,630…
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Rental income - tax allowance for replacement path
The approach to my rental property was via a concrete pathway which started to break up leaving it hazardous and a health and safety issue. I replaced it with a tarmac access. Can I claim all this as a taxable allowance?
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Is tax due when earned or when paid?
My current employer pays one month in arrears i.e. if I work 21 Days in November, I'll get paid around the 28th December. My contract ends on March 31st and so my final payment will be April 28 2025 - will that be allocated to the current tax year (the year in which the work was completed) or to the next tax year (the year…
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Change in CGT rates.
I understand that the CGT rates for profits on shares changed in the recent budget. The 10% and 20% rates increased to 18% and 24%. I fill in a self assessment each year for self employment and have never had any capital gains before. Will I be able to use the same online self assessment form the capital gains? Will the…
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Do I need to share pension and savings account statements with my accountant?
Hello all, I have an "online accountant" doing my self assessment tax return and I have trust issues! They want me to send my savings account statements, pension statements, and mortgage statements to them by email. I feel like this is giving away all the details needed to steal my life savings! Even with a mortgage…
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Travelling full time ... what do I do about tax?
I am travelling full-time at the moment and only pay a small amount of tax on my state and work pensions, which is taken automatically. I was only in the UK for 2 months last year (March - May) and will not be in the UK again until June 2025 and then only for a month or two. I am considering taking up some part-time work,…
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Tax
I dont understand this explanation at all . Can someone help? :) why I have to pay £84 extra this year? I phoned HM Revenue & Customs and a guy I spoke to had no idea… it looks like tax from work has been paid normal as always , then esa is being mentioned (thats for one month -April) £19 for something. This form doesn’t…
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Self assesment query claiming back expenses on a rental property with a consent to let
Question regarding self assesment tax and claiming back expenses on a rental property that has a consent to let with an total income amount of £1950 Given that I have a consent to let, can I claim back the legal fees of when I purchase the property? Note I lived in it prior to renting it out I am trying to workout whether…
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Losses on eBay Goods - tax relief?
I primarily earn through PAYE but on the side I buy from bulk liquidation auctions and sell the items on eBay. It's never made me a huge amount, max ~£5k in a year, but like a good citizen I've been reporting my profits on my tax return each year as other income. However this year I've made a few bad buys and I'm actually…
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IHT gifts from surplus iincome with joint account!
We are giving our daughter regular gifts from our surplus income. However all our income and expenditure goes through a joint account with my wife. I contribute 66% 0f the income, my wife 34%. How is the income/expenditure apportioned for inclusion in the the IHT403 form ie: 50/50 66/40 etc. I cant find the answer anywhere.
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What is meant by "gifts out of income" and "normal expenditure" in the IHT context?
The IHT400 Guidance Notes explain that one can claim on Form IHT403 an exemption from IHT on gifts made out of income which are normal expenditure. Can anyone advise on how these are defined? Aside from any general clarification, I have two specific questions: Q1. I have investments in a number of ISAs which I draw upon…
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CGT calculation
I am self-employed basic rate tax payer. I need to pay capital gains tax after selling a house that I used to live in, but has also been rented out for a number of years. The calculator on the gov.uk website is pretty useless. It does all the relatively simple stuff for you, but when you get to the PRR section (which is…
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Timeline for HMRC's Annual Tax Summary
Has anyone got theirs yet for the tax year 2023-24? Is it normally issued by HMRC around by December?
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VAT Threshold Question?
Hello! So I own a massage business which unfortunatley is not exempt like a physio, and within the next 2 years will most likely hit the 90k threshold. I have a number of self employed contractors offering massage services and am wondering if the procedures / contracts I have in place ensure that the money they earn is not…
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Tax Year and CGT
Am I correct in thinking that CGT paid on the sale of a rented property is levied and has to be paid on a one-off basis? In other words, if you are selling two properties, the tax paid is not dependent on the tax year. So, if you have sold one property in a tax year, there would be no advantage in waiting till the next tax…
