Tax Rebate - but from whom ?

50Twuncle

I have been overtaxed on my ill health pension by my former (government) employers - since the start of this FY - To the tune of approx £75 per month
(My tax code was incorrectly set at 257L - now corrected to 705L) - I have asked my former employers to repay me the £200+ owed - but as yet, no response has been received
Am I correct in thinking that it is supposed to be paid by them - rather than HMRC ?

jem16

As soon as the new tax code is used a refund will come automatically through your wages.

Have you had a pay with the new tax code yet?

50Twuncle

I have received a pay slip with my new rate on it - for payment (today ?) - but no mention of any backdated tax rebate....
Am I correct in assuming that it is down to my former employers rather than HMRC ?

CLAPTON

if your tax code has been changed then your tax ought to be correct; it normally won't explicitly say 'tax rebate' it's just that the tax will be less than previous months

if you like post up the figures from the last three months payslip and we can comment in detail

50Twuncle

Last 3 months - gross £637.17 - net £536.57 - using code 159L - Raised to 257L (After informing HMRC that this was incorrect and I was not bringing in £4900 pa ESA allowance)
This is a complex issue - since I am also bringing in £625 pa via a 2nd ill health pension - for which I have a 2nd tax code of 42T !!

CLAPTON

you are not being clear
your first post talked about 257L risng to 705L ; your last post talked about 159L rising to 257L

if your lastest payslip still shows 159L then your tax is correct
your tax will only change when your payslip is changed with the new tax code

if you want proper advice then you need to tell us the full facts; tax is pretty simple but one needs all the detail

jem16

21Twinkle wrote: »

I have received a pay slip with my new rate on it - for payment (today ?) - but no mention of any backdated tax rebate....

Can you clarify what this pay slip says;

Tax code
Gross pay
Tax
Net pay

Am I correct in assuming that it is down to my former employers rather than HMRC ?

It will come through the pension provider yes. However at the moment as Clapton says you are not being clear in what tax code has just been used.

50Twuncle

My tax code was 159L for April, 257L for May and now, correctly set at 705L
Gross pension (from this employer) - £637.17 per month
Net Pension - April £494, May £505.66, June £536.57, next months - Net will be £627.57
They assumed (incorrectly) - (a) that I was still bringing in almost £500 from a part time job - that ended at the end of last tax year
(b) That I was bringing in almost £400 per month ESA benefits (when I haven't done this since last September
Hence - I assume that if my proper pension is set at £627.57 per month - they owe me the difference between this figure and the lesser net figures already paid for April, May and June ?
Which - I have calculated at £345.91

Any

21Twinkle wrote: »

My tax code was 159L for April, 257L for May and now, correctly set at 705L
Gross pension (from this employer) - £637.17 per month
Net Pension - April £494, May £505.66, June £536.57, next months - Net will be £627.57
They assumed (incorrectly) - (a) that I was still bringing in almost £500 from a part time job - that ended at the end of last tax year
(b) That I was bringing in almost £400 per month ESA benefits (when I haven't done this since last September
Hence - I assume that if my proper pension is set at £627.57 per month - they owe me the difference between this figure and the lesser net figures already paid for April, May and June ?
Which - I have calculated at £345.91

Your employer (pension provider) is not assuming anything. They only follow a tax code given by HMRC. If your circumstances change, at any point of time you need to speak to HMRC to make sure they are up to date with your circumstances and issue your employer with correct tax code.

It is not up to your employer (pension provider) to issue tax codes and know/judge your circumstances. They have rules/proceedures to follow and that is all they do.

Any

Can you please post:
Month/tax code used/tax deducted/NI deducted (if any? It looks like there is some possibly?)

Are you sure the tax code now is not 705L mth1/wk1?

Cannot see why would it not process the refund this month otherwise..

50Twuncle

Tax code is 705L Mth 1 - what does that mean ?
NI not deducted - (this is a pension)
tax deducted Month 03 - £9.60