Taxcode - BR

marcusx00

While I was working at my last job at Fujitsu Services, I noticed that I was getting less pay than my other collegue who did exactly the same job as me. I found out that this was because the tax office had put me on the wrong tax code (BR).

I was getting £7.50 an hour where it was £14,625 a year. I have just used the tax calculator and it said I should be getting £12,015 a year but because of the wrong tax code, I was in fact only getting £10,722 a year.

What can I do about this? Please help.

dzug1

Was it really the tax office who put you on the wrong code, or your employer? If the latter, did you fill in the form he gave you correctly?

Anyhow, it sounds as though you have left there now so it's a bit academic.

If it was last tax year, then you ask the taxman for a refund. If it was this, then it will get sorted out when you restart work - as long as you fill in that form.

PlutoinCapricorn

It is always good to understand these things, so that you can pick up any problems as they happen.

Can you remember what happened when you joined Fujitsu? They should have asked you for a P45, which would have helped them to give you the correct code.

marcusx00

As Fujitsu was my 1st job, I didn't have a P45 at all. I was with Adecco Agency, I asked them when I found out and they said 'Oh someone will deal with it'. No-one ever did.

I have tried calling them, emailing them, sending letters off but either no-one is there or they don't respond to me.

PlutoinCapricorn

The fact that it was your first job helps to explain it. When you left Fujitsu, I assume that they gave you a P45. Are you working now, and did you give it to your new employer?

vyle

marcusx00 wrote: »

As Fujitsu was my 1st job, I didn't have a P45 at all. I was with Adecco Agency, I asked them when I found out and they said 'Oh someone will deal with it'. No-one ever did.

I have tried calling them, emailing them, sending letters off but either no-one is there or they don't respond to me.

I spent 4 years as a revenue assistant for HMRC and dealt with this sort of thing all the time, so hopefully I'll have useful info (although my memory is a little rusty now).

On the P46 there would have been three options:

a: This is my first job in this tax year (or on the older forms, since leaving full time education)

b: This is my only or main job

c: I also receive a pension

You should have ticked statement A. Initially, you would be on a Wk1 tax code until the form got processed and then you would be on regular allowances. Statement A basically stops a P91 being sent out (the 'what have you been up to in the past X months' form).

Agencies usually tend to fill in the forms themselves and tick statement B. With an agency, they were always a pain to process, because there was an 'agency workaround procedure' which basically meant they would always be on a wk1 tax code until they left that agency and we received the full p45 details for that job.

It seems either: somebody ticked a statement C, which left you on a basic rate code, which assumes you have a second job taking your allowances.

OR (and this could be likely) whoever processed your tax saw that your record was with an agency and followed the correct procedure to create a new "agency sub source" record. When an agency sub is created, it should be labelled as such and point back to the agency and then coded as a wk1 tax code. However, a sub source, by default, codes itself on BR. I expect the RA forgot to change the code.

What you should do, regardless of how long it's been, ring up your local tax office and explain the situation. They'll send you a P91 where you should fill it in, leaving no gaps in employment. When that's reviewed, your record will be updated and you should receive either a cheque for the incorrect tax, plus interest, OR have it implemented into your tax code.

Hope this helps, but it's not too late to get it corrected, but go to the tax office.