More new tax codes

BOATRACE

Hello
Last year reading these posts I claimed £1016 back from overpaid tax as I was on BR code since taking early retirement then returning to work part time with no personal allowance (Thanks everyone) after that I was put on 537L which included my pension which is £210 per month. I have now got another code for the new tax year 810L and my pension will be taxed seperately at BR I presume this will be better for me but not really sure but my question is why a different system last year?

jem16

BOATRACE wrote: »

I have now got another code for the new tax year 810L and my pension will be taxed seperately at BR I presume this will be better for me but not really sure but my question is why a different system last year?

Assuming you are talking about a personal pension as opposed to a state pension? If so having two tax codes is the norm.

Providing you are earning over £8105 then this should be fine.

Mikeyorks

BOATRACE wrote: »

my pension will be taxed seperately at BR I presume this will be better for me

Depends. If your earned income will exceed £8105 then both pension and tax from job will be correct. If your pay is less than that then you will be overpaying (during the year) - and will be better to split your allowance. As £2520 against the pension and the rest against the job.

Whoops - Jem types faster (again)!