Tax refunds?

strawberryfluff

I am a nurse and have just received an offer from a tax refund company who will check to see if I am one of the 1 in 3 people who are due a tax refund. If I'm not I won't pay anything, but if I am, I get to keep 60p for every £1 I'm owed.

My questions are - how likely is it that I'm due a refund (I'm thinking not very), and is there an alternative and not very complicated way of checking?

I suspect that this is a very remedial question for which I apologise, I did search but couldn't quite see anything that answered it. Remedial is exactly how I'd describe myself when it comes to tax!

Thanks in advance.

fengirl_2

Don't engage with these tax refund companies - they can't do anything that you can't do yourself. They normally check that you have been given any expense allowance you may be entitled to and this claim can go back 6 yrs.
First thing is to check what code number your employer is operating. If it is 647L, then you will have grounds for an expense claim as a nurse for which there is a fixed deduction.
Feed back to us on your code and we can then give you further guidance.

suso

From 2004/05 to 2007/08 the standard tax relief for a nurse was 70 £ per year
From 2008/09 onwards the standard tax relief was 100 £ per year.

You don't receive the amount just the tax paid on that amount, so if for example you pay tax at 20% in 2008/09 you receive £20.00

A letter to your tax office will suffice and you get to keep 100% of the refund, rather than paying 40% to the refund company.

To see if your already receiving the relief, in your current payslip if it says a tax code of 657L then the chances are you are already getting it.

PlutoinCapricorn

Posters on MSE often disagree on some subjects, but no one ever recommends using these companies. It is a disgrace that some unions recommend them, in return for payments.

Teachers and doctors often ask this question on MSE, and the answer is always the same: there is no secret information and claims are easy so do it yourself.

fengirl_2

Just to add to what suso has said, you can also claim relief for your professional subscriptions and a list of allowable ones is here:
http://www.hmrc.gov.uk/list3/index.htm
When you write to your tax office making your claim, make sure you ask for a code change for this year and next year and a PAYABLE ORDER for previous years.

strawberryfluff

Thank you all so much!
Exactly as I suspected. Agree that it's appalling that this mailing came with my union's endorsement. I've already fallen foul of this when I signed up for some savings scheme which turned out to be pretty useless. Thank goodness for MSE and it's helpful and knowledgeable forum users for opening my eyes!
I shall check my tax code and come back if needs be.

Thanks again!

fengirl_2

I agree, its quite disgraceful that unions recommend their members to sign up to these schemes. Make sure all your colleagues know about this - and complin to your union!

strawberryfluff

fengirl wrote: »

I agree, its quite disgraceful that unions recommend their members to sign up to these schemes. Make sure all your colleagues know about this - and complin to your union!

I'm drating an email to the RCN right now!:beer:

strawberryfluff

Just to follow up on this, I emailed the RCN to voice my concern that they were promoting this company and surprise surprise they think it is very appropriate. They also sent me a statement which basically says that members are free to contact the tax office themselves but would need an in depth knowledge of UK tax law in order to do so!! I wish I could attach the Word document - I'm astounded.:mad:

Anyway, needless to say I am now looking into alternative unions and will be cancelling my RCN subscription.

Thanks all!:)

butterfly72

strawberryfluff wrote: »

Just to follow up on this, I emailed the RCN to voice my concern that they were promoting this company and surprise surprise they think it is very appropriate. They also sent me a statement which basically says that members are free to contact the tax office themselves but would need an in depth knowledge of UK tax law in order to do so!! I wish I could attach the Word document - I'm astounded.:mad:

Anyway, needless to say I am now looking into alternative unions and will be cancelling my RCN subscription.

Thanks all!:)

Yes, the amount we pay them every year they should be doing us a draft letter to the tax office for free!!! I also, complained about this endorsement but didn't get a reply. i can't believe they said you need an in depth knowledge of tax!!! They must be getting a cut of the rebate!

BTW, I got £1800 tax refund.. and did it all myself with my very poor knowledge of tax!!! :T

PlutoinCapricorn

I have a friend who is a teacher, and her sister is a doctor. Both have had their unions suggest using their companies: I believe that the reason is that they are being paid to do so. I showed them where to look on the HMRC website, and told them to tell all their colleagues not to use these companies.

What they have said to you is just wrong: of course you do not need to be a tax expert. They should be letting you know what you can claim and how to do it. You do need to find the HMRC page, and request a refund and claim from now on, but anyone who is a professional could do it easily.

I agree about MSE being a good place to check everything and get honest opinions: perhaps Martin Lewis could start a campaign on behalf of doctors, nurses etc. against the unions.