How to do a Tax Rebate...

pugzy

Plain, dumb and stupid question, but both my fiancee and I want to do a tax rebate, I believe this is where we send off documents stating how much tax and NI we paid against our tax codes for each year? We have always been employed and never self-employed, but my partner has been juggling 2 jobs for the last 4 years so tax codes varied depending where and when she went.

We were both employed with the same company during 2006-2008 and felt we were paying over the odds then, but I was young and naive and money was no object back then so didn't chase it up.

Now we're a bit wiser, we still want to check.

How do I do this check for tax rebate?
What documents will be needed?
Is there a time limit on how far back I can claim?
Do I have to do it by a certain date?
If it's found that we haven't paid enough tax, do they want instant reimbursement?
Is it worth it or are the risks greater than the goods?

Thanks

jennifernil

To work out how much you should have paid, add up ALL yoiur income for the year, then deduct the personal allowance for that year. This leaves the amount to be taxed. Now work out the tax using the correct percenage.

Compare this to what you actually paid.

You will need your payslips for the relevant years, or P60s/P45s.

[Deleted User]

Hi,

try this wee gadget you can use it for previous years also.

pugzy

[Deleted User] wrote:

Hi,

try this wee gadget you can use it for previous years also.

Thanks, have got that App on my iPhone

So basically, I should pull out some old payslips from years ago, alter the details accordingly and just cross reference the details, making sure they add up?

If they're different, what is my next step? :money:

[Deleted User]

Hi,

as jennifernil has said, gather together payslips for each individual year, it will be easier if you have P60's as they give you the annual figure, if you have changed jobs, you will need P45's.

On a piece of paper, write down each year and actual tax paid, then check against the gadget.

You can go back to tax year 2005/6 ended on 5th April 2006.

Have a look here.

pugzy

Righty, need some assistance if poss ...

On a P45, where it states "Total Pay To Date", using the PAYE Calculator mentioned above, what am I classing that as under the "Gross Income Every Year"? I'm confused with the whole monthly/yearly/4 week etc. thing.

For example:
Leaving date: 26/07/2006
Code: 0503L
Week: 30
Total Pay To Date: £3827.00
Total Tax To Date: £92.00

I don't know if it was any difference but I was working with Pizza Hut too at this point, that's the one year I can't find either P60 or P45 for though so can't check bits out properly?! I think I chose to be taxed by Royal Mail as they were my main 3 day per week employer.

Does this sound right?

I'm confused, I think the majority of mine are right give or take a couple £

Also, would pension contributions be on a P60/P45? If so, where? I know I paid into a pension on the above query and another I've got but can't find no figures or percentages of exactly how much I was paying!

jennifernil

Pension contributions are usually taken off before the tax is calculated, so you would have gross pay and taxable pay.

The contributions deducted should be shown on the payslips.

pugzy

Ok, would what I posted above suggest that I've paid tax when I shouldn't have then?

pugzy

Decided that I'm going to send my bits and bobs off to see if I'm owed anything, where do I send these bits and bobs to?

What do I include?

Do I write a polite letter informing them that I wish them to do a check, based on the P60's/P45's enclosed with the letter? And then leave them to it?

jennifernil

pugzy wrote: »

Ok, would what I posted above suggest that I've paid tax when I shouldn't have then?

Impossible to say from the info you have given.

Unless you have all the figures, either from payslips or P60s/P45s, it is very difficult to work out what you paid/should have paid.

Before sending anything off I reckon you should try to figure it out yourself. If payslips do not show pension deductions then I would say you did not make any.

If you are reclaiming then you should write to the tax office that deals with your tax at present....ask your employer to tell you where that is. Copy anything you send away first.

Letters take ages to get answered.

pugzy

I don't have the payslips relating to this anymore but I know they did state that pension was being taken each month, I also know this as I got a lump sum of it back once I left Royal Mail

That make any difference?

I can sorta work it out myself, but I'm getting confused by all the nitty-gritty bits now!

Just want to send it off and let the pros check it for me.