Self assessment - what is : "plus Student Loan repayments"

Mikeyorks

Ah - had you said earlier you worked there I might have left off the bit suggesting the employer is not normally at fault!

Seriously - SLC deducted under PAYE does occasionally give rise to oddities. But it is usually where there is more than one income stream.

Had it been left out of SA .... this wouldn't have registered anywhere. As it stands - regrettably you have to pay it. It does at least mitigate the loan balance a trifle.

daninmanchester

Probably a tax code adjustment from the previous year didn't get applied or something.
It's probably still in someone's in-tray or lost down the back of the fax machine :P

Mikeyorks

No - the SLC is a pure 9% above £15k. Not impacted at all by your Code.

But - on PAYE - the £15k threshold is 'allocated' at £1250 each month and you pay 9% on everything above. Which is why I asked earlier - as 2 x months at £1250 or less would have given you a £225 underpayment when translated to SA. Which is not a million miles away from your underpayment?

bdd198

I'm in a slightly different position regarding the student loan and Self Assessment, but hopefully this thread will be appropriate for my situation.

I'm doing my self assessment for the year 2010-2011. I had a student loan, but I paid it off in May 2010, so on my P60 for the year it shows a small, final, student loan repayment.

The self assessment question regarding student loans simply says: If you have an ICR Student Loan for which repayment began before 6 April 2011, please select 'Yes', from the drop-down menu otherwise, select 'No'.

Now the consequence of doing what the self assessment tells me (to click ‘yes’ and include repayments made under a student loan) results in a final calculation telling me I've under paid my student loan by over £1,800 and telling me to pay the outstanding balance by 31 January!

The wording in the self assessment question gives no option to ignore the question if you have repaid your loan in that tax year, so on face value I'm faced with a £1,800 student loan repayment which has already been repaid!

Can I simply ignore the question and answer it 'no'? If I do I'm concerned someone will see that I had repaid a student loan that tax year and that I should have completed that part of the form. It seems ridiculous they don't tell you to ignore the student loan section if you repaid it in that tax year.

P.S. I have proof of having repaid it from the SLC. HMRC also know it's been repaid because for the last eighteen months I have had no PAYE deductions.

Mikeyorks

bdd198 wrote: »

Can I simply ignore the question and answer it 'no'? If I do I'm concerned someone will see that I had repaid a student loan that tax year and that I should have completed that part of the form.

No you can't do that otherwise it will create more problems than it solves. You need to continue with the filing and then informally appeal (Email through your online) the excess. Enough detail here to get it done :

http://forums.moneysavingexpert.com/showpost.php?p=50430043&postcount=2