Tax Issues

alright_dave

Just started a new job (on an agency), they didn't want me to fill in a P46 and I only had a P45 from the previous tax year which they wouldn't accept.

I have just received a letter from HMRC, stating that my tax code is BR, (which according to their site is 20%). Will I still get a tax allowance (which is £8105)?

Also in the past couple of weeks I received another letter saying how much I earnt in the previous year, but I hadn't worked for that company for over 3 years, I just put it down as an error, but should I give them a call and let them know or just leave it?

McKneff

What were you doing between the end of the last tax year and starting your new job.

If JSA then the job centre should give you a current P45

If working the company you worked for should give you a p45

If nothing, then your company will have to accept a completed P46

(why do they not want you to fill one in, sounds as if the don't know what they are doing tbh)

alright_dave

McKneff wrote: »

What were you doing between the end of the last tax year and starting your new job.

If JSA then the job centre should give you a current P45

If working the company you worked for should give you a p45

If nothing, then your company will have to accept a completed P46

(why do they not want you to fill one in, sounds as if the don't know what they are doing tbh)

Finished my old job at Christmas 2011, started work at my new job 2 weeks ago.

I would guess it would be classed as nothing, I was looking for work, but wasn't entitled to JSA.

Re P46: They just said to me that it's not needed.

jem16

alright_dave wrote: »

Re P46: They just said to me that it's not needed.

In the absence of a P45, yes it is needed.

Is this your only job?

McKneff

Then they are stupid, the HMRC have to have something to work out a tax code for you.

Personally, I would download a P46, fill it in and give it to them. You have done your bit then.

When they get your correct tax code back which should be 810L they can use that to work out your tax implication. You shouldnt pay tax for quite a while anyway as you havent used your allowances up from April.

When you were out of work you still should have been 'signing on' to get your NI credit. Presumably you were entitled to no jSA because you didnt sign on around 2 years ago. Same will happen in two years time if you apply for benefits. So if you are ever out of work again, get your NI credits every week/fortnight

alright_dave

Yes, it's my only job.

Started 20/05/2012. Finished my last job. 21/12/2011.

jem16

alright_dave wrote: »

Yes, it's my only job.

Started 20/05/2012. Finished my last job. 21/12/2011.

As you have already been issued with a tax code from HMRC, I would phone up HMRC and get it changed now.

What does your P2 coding notice say about why you have been given a BR tax code?

McKneff

~When you phone HMRC, ask them about reclaiming any overpaid tax from last year, if you left work in December you will have unused tax allowance from December to April.

Good luck

alright_dave

McKneff wrote: »

Then they are stupid, the HMRC have to have something to work out a tax code for you.

Personally, I would download a P46, fill it in and give it to them. You have done your bit then.

When they get your correct tax code back which should be 810L they can use that to work out your tax implication. You shouldnt pay tax for quite a while anyway as you havent used your allowances up from April.

When you were out of work you still should have been 'signing on' to get your NI credit. Presumably you were entitled to no jSA because you didnt sign on around 2 years ago. Same will happen in two years time if you apply for benefits. So if you are ever out of work again, get your NI credits every week/fortnight

I'll download a P46 and leave it with them. I knew I should have, because I did with the other companies. How long does it take for them to issue a rebate?

I'll remember to get my NI credits next time. I'm not sure what they are though.

alright_dave

How far back can I claim? In 2009 I was given a code of 136T (£1361) would I be able to claim back on that?

The letter says:-

Your tax code for the year 6 april 2012 to 5 april 2013 is BR.

You need a tax code so (company name) can work out how much tax to take off the payments they make to you. Your main HMRC office has worked out your tax code for your other employment or pension but we both need you to check that our information about you is correct. The wrong code could mean you pay to much, or too little, tax, Please keep your coding notices, you may need them if we send you a tax return.

We have asked (company name) to use code BR for this year, Which means you will pay 20% on your (company name) income.

Edit: the letter I received a few weeks ago, was exactly the same but with the old company name.

jem16

alright_dave wrote: »

How far back can I claim? In 2009 I was given a code of 136T (£1361) would I be able to claim back on that?

You can claim back 4 years.

The letter says:-

Your tax code for the year 6 april 2012 to 5 april 2013 is BR.

You need a tax code so (company name) can work out how much tax to take off the payments they make to you. Your main HMRC office has worked out your tax code for your other employment or pension but we both need you to check that our information about you is correct. The wrong code could mean you pay to much, or too little, tax, Please keep your coding notices, you may need them if we send you a tax return.

The emboldened part means HMRC are under the impression that you have another job or pension. Did you ever sign on for JSA?

As you do not, you need to contact HMRC and get this sorted out.