Tax rebate - can someone please see if my calculations are correct?

unsureaboutmytax

Hi all,

I'm trying to work out how much rebate I could possibly get if I quit my job now for the 2012/2013 tax year.

At the moment if I continue to work at my current job, I'll finish up with a gross of £54,666 which means I would have paid about £11750 in taxes in 2012/2013.

However if I quit around Dec and not work until the new tax year, I think my gross will be about £36,000.


To work out the tax rebate do I just use a tax calculator site and subtract the two taxes? (i.e. £11750 - £5699 = £7197)

Also when will I get that rebate?

McKneff

You would have to take into account any taxable benefits you receive between you finishing work and April though. ie JSA.

unsureaboutmytax

McKneff wrote: »

You would have to take into account any taxable benefits you receive between you finishing work and April though. ie JSA.

Thanks - assuming I don't claim any benefits? I prefer not to rely on others if I don't have to...

ceeforcat

unsureaboutmytax wrote: »

Hi all,

I'm trying to work out how much rebate I could possibly get if I quit my job now for the 2012/2013 tax year.

At the moment if I continue to work at my current job, I'll finish up with a gross of £54,666 which means I would have paid about £11750 in taxes in 2012/2013.

However if I quit around Dec and not work until the new tax year, I think my gross will be about £36,000.


To work out the tax rebate do I just use a tax calculator site and subtract the two taxes? (i.e. £11750 - £5699 = £7197)

Also when will I get that rebate?

This does not sound correct to me at all.

If you stop in December and do not work or receive benefits for the rest of the tax year, the tax due will be £5579 based on a code of 810L on an income of £36000.

At December will have received £36000 and your tax paid at that date should be £6813. You will not have earned £54666 and, therefore, will never pay £11750 in tax and cannot claim that you have paid it.

Your rebate will be £1234 (£6813-£5579)

unsureaboutmytax

McKneff wrote: »

You would have to take into account any taxable benefits you receive between you finishing work and April though. ie JSA.

ceeforcat wrote: »

This does not sound correct to me at all.

If you stop in December and do not work or receive benefits for the rest of the tax year, the tax due will be £5579 based on a code of 810L on an income of £36000.

At December will have received £36000 and your tax paid at that date should be £6813. You will not have earned £54666 and, therefore, will never pay £11750 in tax and cannot claim that you have paid it.

Your rebate will be £1234 (£6813-£5579)

A significant part of my tax is calculated at 40% already since the beginning of the 2012/2013 tax year.

But I think I know what you are getting at... I need to recalculate.

ceeforcat

A significant part of my tax is calculated at 40% already since the beginning of the 2012/2013 tax year.

But I think I know what you are getting at... I need to recalculate

£4144 will have been charged at 40% at the end of December on a code of 810L on a salary of £36000 to that point.

unsureaboutmytax

ceeforcat wrote: »

A significant part of my tax is calculated at 40% already since the beginning of the 2012/2013 tax year.

But I think I know what you are getting at... I need to recalculate

£4144 will have been charged at 40% at the end of December on a code of 810L on a salary of £36000 to that point.

Thanks for pointing that out - It's more like £2000 I think - or around that.... hmm probably not enough for me to go travelling on.

*sigh*

ceeforcat

I see what your are getting at. Perhaps it is the business part of my brain which is calculating that the real cost of this three month sabbatical will be a salary loss of £18666 before taxes?

unsureaboutmytax

ceeforcat wrote: »

I see what your are getting at. Perhaps it is the business part of my brain which is calculating that the real cost of this three month sabbatical will be a salary loss of £18666 before taxes?

About that... about £16333 + potential bonuses.... however not getting younger and want to do some travelling... (3.5 month)