Income tax on second job

picardclone

I have to jobs. When i started my new job i told them I was Already working and have never given a p45 in as my other job has it.Last night I was working out with my father some salaries for a new second job ( I'll be leaving this one end of october).He noticed that my tax code was the same for both jobs 603L . He said that this was not right and i've not been paying enough income tax on my second job.I'm really worried as this has been like this from the start ( 5 years 4 months). He tried to work it out and reconed i owe the tax man over £6000.00. I'm devastated I thought this would be sorted by my employer when i started.How will the tax people take this back. I'm already up to my ears in debt this will kill me . any advice please Help

LisaContractorUmbrella

Having a 603L tax code for both jobs is incorrect - one should use 603L as that represents your tax free allowance, the other should use basic rate (20% of your taxable earnings). Can you confirm whether or not you have been working on both jobs since before April this year? If so the P60's that both employers send to the Inland Revenue should have alerted them to the problem. If you started the second job after 6th April then you will need to tell the Inland Revenue who should send a coding notice to the second employer - your tax will then be adjusted over the course of the rest of the financial year to allow for the error.

mooooo

picardclone wrote: »

I'm really worried as this has been like this from the start ( 5 years 4 months).

Wow! You would have though inland revenue would have noticed by now!

picardclone

1st job since september 2000, code now is 609L
2nd Job since august 2003, code is now 603L
Both jobs have small tax relief items attached to them.
Both jobs have always had numbers and letter as code.
How could my second job have got the tax code wrong if they have never had a p45,
i was never asked to fill in a p46 or what ever you have to fill in without a p45

Lokolo

More than likely the 2 different companies are using 2 different offices for the Inland Revenue.

For instance, I have had 2 jobs, one near London, one in Staffordshire, neither of them know about each others jobs, hence the 2 tax codes.

Whichever is your 'secondary' job you should tell your employer that you should be on tax code with BR (basic rate) so you are taxed on all earnings.

You can sort the rest out with the tax office, just give um a ring, explain it and say you think you owe loads of tax. Basically what they will do is contact each other and find out about earnings and change your tax code for next few years - which may mean you lose out on any pennies, but its better than going to prison for tax evasion