Tax Code 603LM Any Help

Mr_Tes

Hi
I've been working at a company now for 8 months and have been placed on 603LM tax code. I've searched high and low on the internet but can't seem to find anything accurate. I don't know how the tax system works, so have no clue if this is correct.

Before this permenant job I worked on a short contract for 3 months and my tax code was 603LM1. Prior to this I was on job seeker's allowance for 4/5 months.

I also ocassionally dj on the weekend, which brings in £250/£400 a month. This is paid by cheque so i'm assuming the tax man does not see this as another job/income? I know I should declare it just haven't got round to it.

Any help would be much appreciated.
Cheers

System

603LM is the same as your previous code of 603LM1. The reason for this code in 08/09 is that HMRC do not have employment details for the period from 6th April 2008 until you started working.

Now that that tax year has ended your code should be 647L. You can ask HMRC to review 08/09 to see if you are entitled to a rebate but you need to confirm to them what you were doing (if anything) prior to the start of your employment 11 months ago.

Mr_Tes

Pam17 wrote: »

603LM is the same as your previous code of 603LM1. The reason for this code in 08/09 is that HMRC do not have employment details for the period from 6th April 2008 until you started working.

Now that that tax year has ended your code should be 647L. You can ask HMRC to review 08/09 to see if you are entitled to a rebate but you need to confirm to them what you were doing (if anything) prior to the start of your employment 11 months ago.

Thanks Pam that sounds about right. So will my tax code automatically change or do I have to query it with HMRC or Finance department at my work?

Regarding chasing tax rebate do I have to wait for my P60 or can I do it before?

How far back can I claim rebate? The reason I ask is because I worked for a company from Oct 2006 - Jan 2008 and for the majority of the time I was on a BR tax code. I never received a P60 and when requesting one the finance department said I had to pay £25 for each one. Is this normal practice?

System

Mr_Tes wrote: »

Thanks Pam that sounds about right. So will my tax code automatically change or do I have to query it with HMRC or Finance department at my work?

Your employer should uprate your code automatically from the beginning of the new tax year

Mr_Tes wrote: »

Regarding chasing tax rebate do I have to wait for my P60 or can I do it before?

HMRC generally like you to forward your P60 and P45 to them if you want them to review the year. They should be returned to you.

Mr_Tes wrote: »

How far back can I claim rebate? The reason I ask is because I worked for a company from Oct 2006 - Jan 2008 and for the majority of the time I was on a BR tax code. I never received a P60 and when requesting one the finance department said I had to pay £25 for each one. Is this normal practice?

You can ask HMRC to go back 6 years. As far as your employer charging you £25 for a P60, I don't see why they would do that unless they say they already gave you one. You don't need a duplicate P60 though you can ask for a statement of earnings for that year. That's just a printout from their database.

dzug1

In extremis HMRC will process your refund without a P60 using the records your employers have sent them. It will take a bit longer but they will get there in the end. You didn't need to pay for a replacement

Your current employer has until something like the end of May to produce the P60

Mr_Tes

Pam17 wrote: »

You can ask HMRC to go back 6 years. As far as your employer charging you £25 for a P60, I don't see why they would do that unless they say they already gave you one. You don't need a duplicate P60 though you can ask for a statement of earnings for that year. That's just a printout from their database.

Yes they claim they already issued me with one, which I did not receive. So who issues the statement of earnings my employer or HMRC. Would my payslips be just as affective?

fengirl_2

HMRC should already have your pay and tax details for past years. they would only ask for your P60 if your employer had not sent a copy to HMRC. Just make a claim and if HMRC want you to provide more details, then deal with the issue. They wont accept payslips, but they would accept a letter from your employer setting out your pay and tax for the year.

Mr_Tes

Hi I just received my first pay slip of the new financial year with tax code 647L, which I understand to be the new ordinary tax code for this year. But when I received my P60 it states that my Final Tax Code is 603LM1. Is this of any great significance or do I have nothing to worry about?

jem16

Mr_Tes wrote: »

Hi I just received my first pay slip of the new financial year with tax code 647L, which I understand to be the new ordinary tax code for this year.

That's correct.

But when I received my P60 it states that my Final Tax Code is 603LM1. Is this of any great significance or do I have nothing to worry about?

That's correct too. 603 was last year's tax code. However the M1 would mean that you were taxed on a non-cumulative basis each month so as said earlier you may be due a tax rebate.

Mr_Tes

Thanks, much appreciated.

mrkbrrws

Mr_Tes wrote: »

I also ocassionally dj on the weekend, which brings in £250/£400 a month. This is paid by cheque so i'm assuming the tax man does not see this as another job/income? I know I should declare it just haven't got round to it.

You assume wrong. This is another source of income, if it's on a self-employed basis you need to register with HMRC.

If it is another employment, are they deducting tax?