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Tax Code Problems

I have been in my current job for 11 or 12 years. I used to get a tax rebate every year through my wages except for the last 2 years . In December last year I received a rebate covering the 2 years, in the post, I had not applied for this or contacted the tax office. I expected the tax office to rectify my coding in light of this, my current code being 568L, but nothing has been done. I believe that my code has been wrong for the years I have been in this employment, hence the rebates.
Will I have to contact HMRC stating the obvious . I have spoken to a workmate who also believes his coding to be wrong , but our local tax office only operates 2 days a week, and getting any sense from East Kilbride apparently is near impossible.
Just checked the wifes code and believe that to be wrong also. Our codings should be straight forward , no second jobs, pensions or complications.
Also I cannot remember the last notice of coding I had sent, possibly not during this employment, how often are these sent out.
Many Thanks.
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Comments

  • jem16
    jem16 Posts: 19,704 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    ayrforce1 wrote: »
    I expected the tax office to rectify my coding in light of this, my current code being 568L, but nothing has been done. I believe that my code has been wrong for the years I have been in this employment, hence the rebates.

    Your tax code is lower than the normal of 647L so you will be paying around £158pa extra tax.

    Is there a reason for the lower tax code that you know of? Do you have a taxable benefit like medical insurance, company car etc?

    If none of these things apply and you have not received a P2 coding notice then you need to phone HMRC and ask them what the reason for the deuction is.

    Also I cannot remember the last notice of coding I had sent, possibly not during this employment, how often are these sent out.
    Many Thanks.

    Usually yearly but sometimes more often as needs be. Some people never get one if their tax code is just the normal one.

    I got mine yesterday morning and phoned up HMRC at about 8:15 this morning as they had made a deduction for higher rate tax that wasn't applicable. Last night I tried phoning and was told they were too busy to try again later!

    Turns out their estimated figures for my income next tax year were not quite accurate. They just took a note of my figures and amended the code so no hassle.
  • ayrforce1
    ayrforce1 Posts: 60 Forumite
    No company car , medical insurance or perks of any kind.
    Thanks jem16.
  • Mikeyorks
    Mikeyorks Posts: 10,377 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    ayrforce1 wrote: »
    I have been in my current job for 11 or 12 years. I used to get a tax rebate every year through my wages except for the last 2 years . .

    I can't conceive of a situation where that could happen via a change of your tax code? After all it implies it's 'corrected' each year, triggering a refund - and then reverts to an incorrect one at the start of the next tax year. Not a usual event.

    You need to resolve why your Code is apparently lower than normal. But that doesn't explain the regular refunds. Do you, by any chance, get an annual bonus?
    If you want to test the depth of the water .........don't use both feet !
  • ayrforce1
    ayrforce1 Posts: 60 Forumite
    This has happened as I have stated. I work a regular 40 hour week and receive nothing in bonuses nor anything in kind, I don`t even attend the Xmas night out. I have retained every pay line I have been given in this job. My wage has not changed in the last 3 years, 4 come June.
    In December 2010 I received a tax rebate, by post, for the 2 years previous, and expected that my code would have been rectified for this year but nothing has changed. A workmate believes his code is also wrong but apart from this current year he has not kept any of his paylines or p60s so he will have to depend on what the tax office tells him. He is hoping to see someone at our local tax office this week , not easy with their restricted hours and the fact that people need to get time away from work to see them.
  • Mikeyorks
    Mikeyorks Posts: 10,377 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    ayrforce1 wrote: »
    In December 2010 I received a tax rebate, by post, for the 2 years previous,

    Over 5M people received refunds in the period Oct - Dec 2010. As a result of the automatic reconciliations made by the new PAYE system.

    But the bit I was querying (see the quote) is your allegation that you had an in-year rebate every year for 11 / 12 years. That's the bit I said I couldn't conceive of?

    So - if you've had P800s (PAYE calculation) for 2 years ....... they will tell you the value of the personal allowance you're being given? They will also show if HMRC are making any restriction to that ...... as your Code number implies?
    If you want to test the depth of the water .........don't use both feet !
  • ayrforce1
    ayrforce1 Posts: 60 Forumite
    Thank you Mikeyorks.
    I can now shed some light on this although I don`t totally understand it. I have checked the p800s for 2008-2009, and 2009-2010. They show my tax allowances as £6035 and £6475 respectively. My tax codes on my payslip are 568L for these years.
    My workmate had a tax appointment last week and the following came to light. The company we work for comes up as red on the HMRC computer, and apparently this means they do not send out tax code notices to the said company until they have been in touch.
    According to HMRC our codes are correct on their system but these codes were not passed on to the employees or the employer.
    My previous years rebates were paid with my wages and as I was not receiving coding notices I was unaware of the fact that my coding was wrong.
    Hope this makes it a bit clearer.
  • Mikeyorks
    Mikeyorks Posts: 10,377 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    ayrforce1 wrote: »
    Hope this makes it a bit clearer.

    As mud! :)

    It's a fundamental of PAYE operation that HMRC calculates tax codes .... and advises the employer and (more often than not) the employee.

    Now whilst there are several different mechanisms to advise the employer .... I'm totally unsure what 'comes up red' and they need to be 'in touch' implies? Hopefully one of the people that work for HMRC, and post on here, can throw a bit of light onto it?
    If you want to test the depth of the water .........don't use both feet !
  • hi every one, my hubby has a big problem, he cant seem to get a unique tax code, for self assesment, we have been intouch with tax help line they useless, we been to tax office they cant even find trev on there system, even though he gets a pension from them and has a ni number, we stuck cant submit tax form with out number can any one help please we at wits end
  • suso
    suso Posts: 548 Forumite
    sue1965 wrote: »
    hi every one, my hubby has a big problem, he cant seem to get a unique tax code, for self assesment, we have been intouch with tax help line they useless, we been to tax office they cant even find trev on there system, even though he gets a pension from them and has a ni number, we stuck cant submit tax form with out number can any one help please we at wits end

    has he registered for self assessment? the UTR will be listed on correspondence sent to him regarding self assessment. Returns, reminders, bills, statements.

    If he hasn't registered then he will not be appearing on the SA system.
    He's not an accountant - he's a charlatan
  • grangers72
    grangers72 Posts: 122 Forumite
    I'm just in the process of back tracking my tax. I was on 543L from 2007-2008, 587L from 2008-2010. Anybody know why I would have been on these codes? I had a letter last April informing me my new code was 647L.

    Around 5 years ago I received a refund for the period of 2004-2006, this was initiated by the tax office. All the correspodance for this refund went to an old address, the adress I lived in 2004-2006. I have moved around the past few years and am worried I may have been sent tax correspondance to prevuous adsesses.

    Based on the above codes do you think I am entitled to a refund.

    Sorry for all the questions, I've spent £20 on mobile calls and not actually spoken to anyone at the tax office.

    Thanks in advance
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