Second Job - confused with tax codes

bride2be2012

Hi hoping someone out there can help me!

In 2007 I started working for a company full time. In 2009, the company split in two and I was paid for 3 days from one side (company A) and 2 days (company .

My pay slip from company B shows a tax code of 653L and company A is BR. Someone has now told me that it really should be the other way round, as company A is paying me more money? (annually I receive £10834 from company A and £7200 from Company B (gross)).

Does it make much difference, am I get taxed more because of this?
Many thanks

CLAPTON

if your gross income (less any occupational pension contribution) for each emplyment is more than the tax allowance then it makes no difference

so in 2010-11 tax year the tax free allowance was 6475 per annum so as long as each emplyment was more than that the total tax collected would be correct

however this tax year the tax allowance is 7475 ; if this is applied to your income of 7,200 you would miss out on the 275 worth of tax freee allowance.

it would be better for you to ask HMRC to swap the two taxcodes so you don't have to reclaim the tax at year end

I assume that the 653L code includes some allowance (maybe uniform or something?)
it

bride2be2012

Thanks. I'm not sure why my tax code is 653L. I don't get a uniform or company car or anything. Why would it be different from the standard?

CLAPTON

the normal taxcode for 2010-11 was 647L i.e. a tax free allowance of 6475 whereas 653L (I'm assuming that was for 2010-11) means you get 6535 tax free which is £60 more and so reduces your tax by £12 pa

this would normally be due to some allowance, typically having to wash a uniform (e.g. a nurse ) or a tool allowance; something job related

do you have a notice of coding for either last year or this that might explain it?

bride2be2012

I might have one filed away somewhere. I do get to claim back travel and subsistence expenses every so often, when the need arises, would that affect the coding? Worried now in case I've been on the wrong code for years and get a big bill from the tax man!

CLAPTON

well, it's a pretty trivial amount of money (£12 per annum last year) so I wouldn't worry about a big tax bill

do you know your taxcode for this year?