larkrise

ceeforcat

jennifernil wrote: »

Pension is being taxed according to OP second post, so not state pension.

Yes - second post actually - but thanks for pointing that out. It certainly seems to me that the tax on his pension is not reflected in the P800. If he pays £13 per week from May 2010 on his wage and £140 per month on pension, how do we only get 410.60 for the year!

What op needs to do is to ring HMRC and ask for a breakdown - according to my telephone call with them this morning that will take three weeks to arrive.

larkrise

working for 7280per yr before tax

larkrise

13 per week on wage £140 per month on private pension

Mikeyorks

It's clear from post #7 that your pension is not paid through your normal payroll. So you should have a 2nd P60 - from the pension provider?

We need the pay / tax / Code from that. As the P800 figures don't add up otherwise. The pension P60 should show payment of around £9528 .......... but what is the tax and Code.

ceeforcat

Mikeyorks wrote: »

It's clear from post #7 that your pension is not paid through your normal payroll. So you should have a 2nd P60 - from the pension provider?

We need the pay / tax / Code from that. As the P800 figures don't add up otherwise. The pension P60 should show payment of around £9528 .......... but what is the tax and Code.

Probably NIL taxat least according to the P800, I would venture Mike - 20% of £9528 is approximately £1900 which is the amount of the underpayment. P60 from the pension required as you say.

jennifernil

larkrise wrote: »

no not on state pension yet only 61 , 62 in march 2012 i dont know what this income is , i work 16hrs a week now for the same firm after going for early retirement in may 2010 ,and earn £140.per week my private pension is the only other income , we get no benefits etc ?????

Your income shown on the P800 will be the total of what you earned before and after retirement, plus your pension.

The income figures look about right from what you said, but HMRC have not taken into account the tax that has been deducted from your pension.

Looks like an error, and that in fact you do not have a large underpayment.

xylophone

The op was 60 when he retired in May 2010. It looks as though he received one month's salary at his pre retirement rate and eleven months on short hours? His tax code was 653L rather than 647L so he may have received an allowance for washing his uniform at home or something of the sort? At all events all his allowances were given against his salary.

Therefore the pension should have been taxed on a BR code (ie all at 20%)? He should have paid 1909 in tax? He says he has paid 140 a month
on his pension so 11(?) months at £140 = £1540 so he owes some tax but not the amount HMRC claims?

Since HMRC know about the pension why don't they know about the tax that has been paid?

Mikeyorks

xylophone wrote: »

so he may have received an allowance for washing his uniform at home or something of the sort? ?

Covered in post #7.

He says he has paid 140 a month on his pension

The more consistent statement is that he receives £140 per week. But we know not if that is net or gross. Despite the earlier suggestion that it is taxed. Hence the several requests to see if he has a P60 for the pension.

Which would, in turn, hopefully go some way to answering :

Since HMRC know about the pension why don't they know about the tax that has been paid

The more likely scenario is that the 'missing' £9528 has been taxed. And the resultant £182pw has had £36.65pw tax deducted - giving the '£140pw'. It also £36.65 x 52 = £1906 accounts for the missing tax.
But all is conjecture without the P60 data.

jennifernil

I am reading it as he now earns £140 per week from his part time job, and £13 per week tax is deducted.

Plus he is paying £140 per month tax on his pension, which he has stated is £8000 per annum.

ceeforcat

jennifernil wrote: »

I am reading it as he now earns £140 per week from his part time job, and £13 per week tax is deducted.

Plus he is paying £140 per month tax on his pension, which he has stated is £8000 per annum.

Likewise here