Wrong tax code?? pls help me

marmite2505

Hi, i currently work 2 jobs. My main jo is a cae assistant. My other is a cleaning job. I am on tax code 6437L?? for both. Is this right. I pay tax for my main job but not for my cleaning job which i work less hours for anyway. This has just come to my attention. I cannot afford them jus dipping their hands in and taking what they may be owed?? really worried now.

sarflee

No, this is not right. You are only allowed one set of personal allowances each year. As you pay tax at your main job I can assume that you earn over your personal allowances and therefore your tax code at your second job should be BR, meaning all your income from that job will be taxed at the basic rate of 20%.

You need to let your tax office know as soon as possible but this does mean that they will probably check earlier years and they can ask that you pay any underpaid tax.

marmite2505

strange cause at my main job they got me to fill in a form from inland revenue, stating hat it was my main job ? so i was told that im paying tax for both jonbs through my main job???

sarflee

I thought you meant your tax code at your main job was 647L and the tax code at your second job was also 647L. This would mean you were getting full personal allowances at both jobs and this is not correct.

What tax code are they using at your second job?

marmite2505

omg yes thats right its also 647L oh no am i gonna have to pay a hell of a lot back!!!!

sarflee

Don't panic! How much do you earn at your second job, roughly and how long have you had the two jobs.

You have probably pad the correct tax at your main job, so it will be your second income that needs sorting out.

If you have overpaid they will probably collect it over twelve months, through your wages, by adjusting your tax code. We have just started a new tax year so they won't start collecting it until next April 2010. You could ask for longer.

First thing you need to do is get the correct tax codes as soon as possible. Then sort out any underpayment, it may not be as much as you think.

marmite2505

well my cleaning job i earn £422. it shows on my pay slip i pay no tax, this is weird??

sarflee

Is that £422 a month? If so you wouldn't pay tax because the tax code they are using, albeit incorrectly, allows you to earn £562 a month before your pay tax.

But your are already receiving the tax free £562 a month at your main job and therefore cannot have it at your second job. The £422 should be taxed at the basic rate of 20%, which would be £84.40.

marmite2505

ok? umm well i earn £800 at my main job??

Any

Then you definitely underpaid tax. By now you should have P60 form from both jobs (hopefuly, though the employer still has got time to the end of May to provide you with it).

When you have a look at these two - £6035 should be tax free, the rest taxed 20%.

If you post up both figures here and how much tax you paid, we will be able to tell you more.

On the P60, left bottom corner-"Pay and income tax details". Total for year column and tax deducted column - add them up from P60s from both jobs and let us know.

marmite2505

ok when i receive them i will. this is ridiculous tho i thought the tax office would know im working for two jobs for god sake!!! its for the same NI number!!! do you think they will see it and adjust it accordingly?