eary discharge?

alastairq

can someone briefly explain to me, in simple terms, exactly what would change with my BR, if it suffers from an early discharge?
[Currently, I have a NT IPA]

I'm a trifle confused.....especially about the bit where I thought I need not tell the OR of any changes in income [overtime payments,etc], but apparently have got that all wrong...?:o

sieve

If you are not already paying into an IPA then once you are discharged you no longer have to inform them of any changes to your income. They can't put a BRU/BRO on you after discharge. You can be a company director, etc.

If you are subject to an IPA then you need to continue telling them of income changes after discharge for the duration of the IPA, so they can adjust it accordingly.

I don't think the NT IPA counts for longer than your NT code applies for (usually the year) (ie you only need to pay them the tax, I don't think you need to tell them about changes in income - just forward the amount NT saves you then I think you're good).

nervousmother

correct, you would still have to pay a NT IPA over until april next year. It would stop sooner if you change jobs.

If you dont have a IPA regarding surplus income they would not be able to impose one after discharge so your money would be your own and you would be free to win the lottery.

You would be free from chains and able to get on with life

alastairq

My NT IPA has been set already, and I am paying it....and I know I will continue to do so until the new tax year commences,but....sometimes I work irregular overtime,[I already inform the RTLU of this, as and when it occurs...no responses as yet..email, followed by letter....]......so, is it likely my [NT]IPA will be varied to allow for this?


or is it more lilkley I'll simply continue to pay the amount set initially?


and, IF I get ED.......how come winning the lottery wont affect my NT IPA, [because I need not inform the OR]..... yet, earning some overtime apparently , may do so?


[I suppose the real question is...if after ED, I happen to work/earn overtime, will this, EFFECTIVELY have greater value to me as it wont be taxed?]

alastairq

sorry about spelling.......dell wireless keyboard syndrome...just noticed the thread title......still, could have been worse?

nervousmother

Without a NT tax code you pay tax on your overtime, with a NT tax code you dont so you would benefit more if the NT ipa stayed the same.

The NT tax code is not set to benefit the BR, yet you clearly would benefit if you did not pay over the extra tax money.

If everyone had to pay tax on any lottery winnings you would have had to inform moonbeever of your win, but as you dont it wont have anything to do with them

to add:
the NT ipa is purly tax you would have paid to the inland revenue, it is still payable but goes to into your Bankruptcy towards paying your creditors. You wont pay any more tax than anyone else doing the same job hours and should not pay any less either.

nervousmother

Moonbeever can ask at any time to see your wage slips, at that point if they notice the overtime they would ask for the extra tax money.
As far as im aware you have to inform them first.

MicheH

alastairq wrote: »

sorry about spelling.......dell wireless keyboard syndrome...just noticed the thread title......still, could have been worse?

I never noticed, as bad as each other:rotfl:

alastairq

In another thread, it was noted that it was RTLU that had to be informed, as the mooningbeever was merely a collection office.......so should I simply inform moonybeevers of any overtime, ie send my wageslip?

or is notifying the RTLU enough?

Round_The_Bend

I was told by the OR to just inform Moonbeever, who will then liaise with the OR/RTLU. This was about a month and a half ago. Hope this helps.

debtinfo

The agreement that moonbeever have with the IS is to collect information and payments but not to make decisions about how much you pay