Need help with tax code for year 2011-2012

burtons

I put this question in the employment, jobseeking & training section so as i only had one reply i thought it might be better here as some people might not want to look in there.
I had a letter off hm revenue & customs to say my tax code for the year 6 april 2011 to 5 april 2012 is 354T. So as i don't understand the letter i was wondering why it would change from 647L to 354T.

There was two sheets and this is why i don't understand it.

Sheet 1

Here is how we worked it out.
Balance of tax allowances £3541 (see note 1)
A tax free amount of £3541 (see note 2)
We turn £3541 into tax code 345T to send to my employer. They should use this code to take off the right amount of tax each time they pay you from 6 april 2011. We tell my employer what your tax code is but we do not tell them how it is worked out.

Notes

(1) We know you have another job or pension (you may get a notice of coding for that job or pension) We have used some of your allowances to give you a tax free amount at this job or pension.
(2) If my income for the year is more than £3541 you will pay tax as follows.
At 20% on the first £35000
At 40% on income between £35001 and £150000
At 50% on anything over £150000
In practice your tax free amount is spread over the whole year, so you can receive about £295.08 a month or £68.10 a week before my employer takes tax off you.

Sheet 2

Here is how we worked it out.
Your personal allowance £7475 (see note 1)
Other earnings or pension £-3541 (see note 2)
A tax free amount of £3934 (see note 3)
We turn £3934 into tax code 393L to send to jobseekers allowance. The jobcentre plus will use this code to work out your tax code when you come off jobseekers allowance, or at 5 april 2012, whichever is sooner. We tell jobseekers allowance what your tax code is but we do not tell them how it is worked out.

Notes

(1) The law allows everyone who lives in the uk to receive some income before tax has to be paid, a tax free amount of income. That tax free amount starts from a personal allowance that depends on your circumstances. Our records tell us you are intitled to £7475.00 for this tax year, the personal allowance for people under 65.
(2) We have to see if anything should reduce your tax free amount. We have set £3541 of your tax free amount against your other earnings or pension. We will check at the end of the year that you have paid the right amount of tax.
(3) If your jobseekers allowance for thr year is more than £3934, tax will be due as follows.
At 20% on the first £35000
At 40% on income between £35001 and £150000
At 50% on anything over £150000

Now i don't get jobseekers allowance as i'm working 26 hours a week and i have been for 20 months and i don't get a pension so i don't know how they have worked this out.

busybee100

burtons wrote: »

(1) We know you have another job or pension (you may get a notice of coding for that job or pension) We have used some of your allowances to give you a tax free amount at this job or pension.

They think you have another job and have split the tax code between the two.

If you haven't just write to them to let them know.

burtons

Thanks for your reply. Could this be done online. The only other job i got is getting up in the morning.

jennifernil

You would be best to try and phone them. There should be a number on the paperwork.

Mikeyorks

burtons wrote: »

Could this be done online.

No ...... they don't do email I'm afraid. Write to them if you can't 'phone? As you have until your first pay day after 5th April to get it sorted