Help with BR tax code

lr1277

Hi

Hope you can help.

I was working in a casual but regular capacity for a hospital i.e I didn't have a contract but they paid me for the time I worked.
If I did the work in February, I would submit my timesheet in early March and get paid at the end of March. So far so good.
For the work I did in March, I will be paid at the end of April.

However my hospital transferred the management of the casual staff to an NHS agency on 18/03/13.

This agency now pays a week in arrears as opposed to two month's arrears.

I received a coding letter from the tax office saying my code for 13-14 was BR.

Looking around the web, I believe BR is some kind of emergency tax code where a P45 or P46 were not submitted, or where the income is a 2nd income.

I suspect this is because the hospital is keeping my personal allowance to pay me in April.

I suppose my questions are:
1) When processing the BR tax code, is my personal allowance taken into account?
2) After the hospital stops paying me, will the tax office send me a normal tax code?
3) I submit a tax return anyway, so would I claim back any overpaid tax on my next two tax returns?

Thanks in advance
LR

antonic

Please see my comments in RED

lr1277 wrote: »

Hi

Hope you can help.

I was working in a casual but regular capacity for a hospital i.e I didn't have a contract but they paid me for the time I worked.
If I did the work in February, I would submit my timesheet in early March and get paid at the end of March. So far so good.
For the work I did in March, I will be paid at the end of April.

However my hospital transferred the management of the casual staff to an NHS agency on 18/03/13.

This agency now pays a week in arrears as opposed to two month's arrears.

I received a coding letter from the tax office saying my code for 13-14 was BR.

Looking around the web, I believe BR is some kind of emergency tax code where a P45 or P46 were not submitted, or where the income is a 2nd income.

I suspect this is because the hospital is keeping my personal allowance to pay me in April.

I suppose my questions are:
1) When processing the BR tax code, is my personal allowance taken into account? No - tax is deducted at 20% on all of your wages (BR = Basic Rate Tax which is 20%)
2) After the hospital stops paying me, will the tax office send me a normal tax code? - If you have been given a P45 you need to send this to your tax office, (tax year ends this Friday 5th April)
3) I submit a tax return anyway, so would I claim back any overpaid tax on my next two tax returns? Your tax return for the year 2012-13 (this tax year) needs to be filed by 31st October if you want HMRC to work it out or by 31st Jan 2014 if you want to work it out. If you have overpaid you will get a refund OR if you owe tax the refund will be offset against the tax due.

Thanks in advance
LR

CLAPTON

BR is not an emergency code; it is a code for a second job so you are taxed at 20% for everything (they assume your first job has your tax allowance associated with it).

If this is for 2013-14 I would suggest you phone HMRC asap and explain you have only one job and ask them to put that one job on the standard code 944L


Clearly the complications around your job transfer have confused things.

without seeing the full details for 2012-13 it's not possible to say if your are owed anything.

lr1277

Thanks for the advice and clarification.

I think the agency (my current employer) should be using the 944L code. My previous employer will have to use the BR code. I will call the tax office and see if I can convince them.

Btw: I did complete a P46 at the time of the transfer, but I don't think it was acted upon.

Then I will submit a tax return to claim back the overpaid tax.

What a palava.