Tax Code confusion, HELP!

Brian_D_3

Hi there,

I have a query regarding my tax codes, I dont seem to be getting any help that is not explained in plain eglish, regarding my tax codes, so can anyone help.

I am a Police Officer on a salary of £21000 per annum, I also receive a monthly army pension of approximately £9850 per annum.

My tax code for my Police income is: 014T
My tax code for my pension is: 557L

Is this correct?

I am paying nearly the same amount of tax as I was when I was in the army on a wage of £38000 per annum, I am paying just over £400 per month on my Police wage.

All I am told by the tax office is that I have used up my personnal allowance on my pension.

I think I am being over taxed!!

I DONT UNDERSTAND, CAN ANYONE ADVISE??

CLAPTON

You are entitled to earn £5435 before any tax is paid which corresponds to a tax code of 543L.

it seems that you are getting 557L on one income i.e. tax free £5570 before tax plus 014T i.e. £0140 tax free so in total you are getting a total of £5710 before paying tax.

which means you are paying TOO LITTLE Tax unless there are other factors (e.g. they owe you tax from last year)


are you ABSOLUTELY sure that these tax code are correct... I would have expected you pension to have 014K based on what you have said...

arealbasketcase

Your pension is using up ALL of your personal allowance, so anything you earn above that will be taxed. You are lucky to be getting the extra, 557 is higher than the usual individual personal allowance and you are geting the extra: 014T in your police salary. Unless T is one of the negative codes but I thought T was usually used to mean the tax office were issuing a temporary code until they sort out a proper code for someone.

You will effectively pay tax on every penny you earn from your Police Salary, but unless you had a high tax code whilst in the army I don't see how you can be paying any more overall now.

jamesd

T is probably being used with its "under review by the tax office" meaning. Does look as though K is the more likely final result.

sarahlouise210

jimmo wrote: »

As mentioned by others above you are entitled to a personal allowance of £5435.
That produces a code number of 543L
As a uniformed police officer you are also entitled to fixed rate expenses of £140. See here http://www.hmrc.gov.uk/manuals/eimanual/EIM68130.htm
It looks to me that you have probably been given the fixed rate expenses in both codings.
Your pension coding is probably
Fixed rate expenses 140
Personal allowance 5435
Total allowances 5575
Code number 557L
Your police income code is
Fixed rate expenses 140
Code 14T.

Could not have put it better myself!!! "T" at the end of a tax code means that the code will be reviewed manually every year instead of being automatically upgraded by the computer.

Brian_D_3

Thank you all very much for your helpful and informative replies. I am now absolutely convinced I am on the wrong tax codes, and will 'get amongst them' on Monday!

Thanks again.

Regards

Brian

Tarasam

Ring tomorrow, the tax office is open 8-4, easier to get through as well!

kropa57

Hi I want just someone to help me calculate my tax and NI
my tax code is 543L

my basic salary is 1245.67£ per month the P.A.Y.E i paid 158.60£
and NI 87.19 is this right amount from my wadges thanks

chrisbur

kropa57 wrote: »

Hi I want just someone to help me calculate my tax and NI
my tax code is 543L

my basic salary is 1245.67£ per month the P.A.Y.E i paid 158.60£
and NI 87.19 is this right amount from my wadges thanks

Use http://www.listentotaxman.com/

Cacran

Sorry to hijack this thread but not sure where it should go. My daughter works at a childrens nursery where they have to wear a uniform. These uniforms have to be washed each day by my daughter in her own home. she only has two shirts and she has to wear black smart trousers and black shoes which she supplies herself. Would there be any tax breaks for her via her tax code?

CLAPTON

yes there are allowances for washing clothes but start a new thread and do a search for the numerous other threads on the subject