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? Nil tax code

Hi

Yet another question or two!

My husband has received today from HMRC notification of a nil tax code, his usual tax is £15.00 per month.(on ill health pension) I presume from reading other threads that this will go to Moonbeaver?

He has not heard from the OR anything since his interview(went BR in May) so we are not sure if he will get an IPA

Income mainly benefits does anyone know how his nil tax code and therefore increase in pension will effect housing benefit? His income has recently changed due to an increase in DLA so we now go over the £99 surplus, although I am unsure as the increase in DLA is due to higher care needs, again if anyone knows how this effects his potential to get an IPA would welcome advice.

Hope this makes sense I know what I want to ask but seem not to make it clear, if this is the case please tell me

many thanks

Comments

  • philnicandamy
    philnicandamy Posts: 15,685 Forumite
    10,000 Posts Combo Breaker
    Usually the OR wouldnt be interested in collecting tax under £50 a month (costs them too much as well as paying MB for the priveledge)...or so I believe
    We all die. The goal isn't to live forever, the goal is to create something that will
  • flo5
    flo5 Posts: 170 Forumite
    Thanks philnicandamy,

    I would have thought it was not worth it due to costs, so what happens to the £15.00? I know it is not a lot but do not want to do anything wrong
  • JCS1
    JCS1 Posts: 5,347 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    I believe that sometimes the Court send lists through to HMRC, so nil tax codes are applied when under £50.

    Check with the OR, they might want you to send in the tax money in one payment at the end of the tax year to cut down on administration expenses.
  • flo5
    flo5 Posts: 170 Forumite
    Thanks JCS1 much appreciated
  • debtinfo
    debtinfo Posts: 7,012 Forumite
    you get to keep the £15pm as it is not worth the OR collecting it. The reason it gets applied is that when the OR puts the new case on their systems an automatic notification goes to HMRC
    Hi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
    Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.
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