Possible double tax rebate..What can I do????

cgorton

Last year I submitted a expenses claim for 2 years business mileage. After the administration cogs turn for a while I early this year received by cheque of approx 2.5K. All good so far

Now I have just lok at my payslip and it would seem that a rebate, of about the same amount has been reflected through my pay. Where do I stand on this....People that have been in this position before I would love some feedback

Thanks in advance

fengirl_2

Did you also make a claim for this tax year? Have you received a notice of coding giving a change of tax code? Is it correct? Is this the code your employer is using?
If the answer is no to these, you need to check where your employer got the revised code he is using. Then you need to ring the tax office to find out whats going on.

cgorton

I am still looking into this but our payroll people think it might be something to do with me being on a K rate tax code for most of this tax year year 'K0000009' or seomthing then all of a sudden they have put me on 000834L

Not being an expert on these things I am still worried that I will get stung somewhere olong the line. Does anyone have a view on this?

sdooley

It depends if they are 'assuming' you will have the same amount of mileage this year (in other words giving you the benefit of this year's claim up front) or if they have made a genuine error and are paying you back last year's money in two different ways.

If there has been an HMRC error, you will have to pay it back, but won't have penalties or interest if you report it on your discovery of their error (i.e. now). However it seems more likely that they're just giving you this year's allowances through your tax code (on an estimated basis) and you'll have to reckon up with them at the end of the tax year.

fengirl_2

Have you not received a notice of coding showing how this new code was made up?

sarflee

I think Sdooley is correct. The 2.5k repayment you have received appears to have been for the last two complete tax years and they have now arranged for the relief, for this year, to be included in your tax code. They will have used an estimate based on your latest expenses claim.

I seems your expenses are quite high, and usually, if your total expenses were more than £2500 each year, you would need to fill in annual self assessment returns.

cgorton

Looking through my records I started the 08-09 Tax year on a K69 tax code and then it changed to a K9 sometime in Sept 08. At the end of January I received one stating a change to 843L hence the second rebate this time through pay.

The only reason my expenses were so high was they were for 2 years not one. One of those years I also did a large amount of mileage (18.5K) and as I have a fuel card fully funded by the company I was claiming back the maximum from them.

Subsequently, I have now been instructed to fill in a for this tax year after April I guess. This is a big learning curve at the moment for me and any guidance is appreciated