Should I claim tax from one job? even if I owed tax overall from other jobs?

RobLondon1984

I owe about 160 pounds in tax and NI as I have been working 3 different jobs. For one job, I been tax about around 100 pounds, with my salary around 2k for that job in the 06/07 tax year.

I think I would get a letter soon asking me to paid them the 160 pounds in tax and NI. I think I should just leave it, as at the moment, I might not need to pay back 160 pounds.

Also, I am claiming net interest on my savings account, can I claim gross interest? I am in the 10% tax income bracket

malcindebt

Your income (salary, plus intrest and/or dividends etc) tax is based on your overall annual income, not per job.

If your total income is less than £5035 for 2006/07 then you have no tax to pay and are entitled to claim a refund of tax for anything you have overpaid.

If your income is more than £5035 but less than £7185 then you should pay tax at 10% on the income over £5035 and you would be able to clai a repayment of overpaid tax, assuming you have overpaid.

MarkyMarkD

And if you are definitely in the 10% tax band, you cannot register for gross interest. You have to pay it at 20% and then reclaim the difference.

RobLondon1984

malcindebt wrote: »

Your income (salary, plus intrest and/or dividends etc) tax is based on your overall annual income, not per job.

If your total income is less than £5035 for 2006/07 then you have no tax to pay and are entitled to claim a refund of tax for anything you have overpaid.

If your income is more than £5035 but less than £7185 then you should pay tax at 10% on the income over £5035 and you would be able to clai a repayment of overpaid tax, assuming you have overpaid.

I never though that interest counts as your income. Also, I never said that my overall income is based on per job.

I don't think you understand my question, but thanks for the reply anyway.

RobLondon1984

MarkyMarkD wrote: »

And if you are definitely in the 10% tax band, you cannot register for gross interest. You have to pay it at 20% and then reclaim the difference.

Thats a bit confusing, so I cannot claim gross interest when I opened a savings account, but can claim the differences between gross and net interest after a year I opened a savings account or the end of the tax year?

Thanks for the reply

jem16

You would claim the difference between the 10% bracket and 20% that is paid at the end of the tax year.

You can only claim for gross interest if you are a non-taxpayer.

I never though that interest counts as your income.

You must add any interest paid onto your earned income as it all counts towards your taxable income. You would not be able to claim a tax rebate from just one job. HMRC will add up the income from all jobs before deciding if you owe tax or are due a rebate. Once you have the P60 from each job then you can see what to do.