Taxable income, so confussed :/

sophiaw

I have just read on tax credits site that income based Jobseekers allowance isnt taxable but contribution based is,I was claiming income based for 6 months of the year, I started work 6 weeks ago and my wage slip says totally amount earned is 3,300 so have they included my JSA in the total amount and how will this stand with my working tax renewal, Will it count towards my income earned for the year? I find this working tax credits thing so hard to grasp.I have told them I am earning about 5,000 as I'm only doing 17 hours but sometimes I'm doing 18 ( does that matter? ), I'm worried of an over payment as I've never claimed working tax before.

Adereterial

JSA is taxable income, and you'll need to add what you received to your income for the year.

sophiaw

Another person has just told me that the total amount earned on my pay slip is for tax and national insurance, but when I get my p60 I will only need to declare what I have earned at work not the JSA part, so bascially I've been told 2 different things, so still very confussed

MrsManda

sophiaw wrote: »

Another person has just told me that the total amount earned on my pay slip is for tax and national insurance, but when I get my p60 I will only need to declare what I have earned at work not the JSA part, so bascially I've been told 2 different things, so still very confussed

What do you mean by declaring what you've earned when getting your P60?

JSA is taxable so is counted as earnings for tax purposes. This is why when you come off JSA you receive a P45 like you would if you left your job. You give this to your employer to ensure you pay the correct tax.

Caz3121

Income based JSA is not counted as income for tax credits (even though it is a taxable benefit), whereas contribution based JSA is income for tax credits purposes

sophiaw

Sorry I ment would I have to declare the JSA as earning for my working tax credits renewal this year not for my tax, Its ok I have the answer now thanks Caz3121