Tax code changed to 1121L

donnalou

Hi There,

I filled in a Self assessment and recieved a payment of £1316 back within two weeks. Which i was really impressed with. Its the Tax relief because I use my own car for work.

Today I recieved a letter saying my Tax code has changed from 522L to 1122L, allowing for job expenses.

Am I right in thinking this will give me an extra £110 a month (approx)
Instead of getting a repayment at the end of the year.

So I'm thinking as long as I do roughly the same amount of miles it should work out fine.

Thanks for your help

Donna

Murdina

seems about right if you are a basic rate taxpayer; more if you are 40%. Seems a lot to have to spend though - you are getting relief on £500 per month which works out at between 1,250 and 2,000 miles depending on if you are claiming at 25p or 40p a mile. Are your employers really contributing nothing? It would probably be more cost effective for them to pay you a mileage rate and adjust your salary as it would save on national insurance - and they could split the difference with you.

donnalou

I done just over 30,000 miles last year

I got relief on £5987

My company pay me 10p a mile although this used to be 9p I had a courtesy for about 6 weeks thats why its not a round figure.

Does that make it a bit clearer

Donna