PAYE and tax code following bankruptcy

Navigator1

Could anyone tell me if you are registered to pay your tax through PAYE, even if you are self employed, would you have a nil tax code for a year following bankruptcy?

Rylynn

Can you clarify why you are PAYE if you are self employed? maybe I am being thick here. It is some time since I went BR but I have this odd feeling my OR told me I would not be given a nil code as there was less than 6 months of the year left, which there were. I may have that wrong mind you, as I say a while ago now.

If you google this do you get a response, from what I got I think you still get a nil tax code. Am I right in thinking this is due to the OR taking this money, my mind has gone a bit blank.

coolcait

The nil tax code - in cases where a nil tax code is applicable - is not for a full calendar year following bankruptcy. It covers the period from the date of bankruptcy till the end of the tax year in which you went bankrupt.

Other than that, there's not really anything to add to the information you've already been given on your other threads about this topic.

Rylynn

Sorry that is what I meant, I went BR in late Oct and the year end would have been following April 4 is it? or 3? and I have some idea in my brain when the OR mentioned nil tax code he said it was not worth it, mind you I was not earning very much anyway! but I was paying tax.

fiveyearplan

Also, just to note the bankrupt person does not get to keep the tax, if a nil tax code is in effect the tax is handed over to the OR via Moonbeaver.

Rylynn

:rotfl:Oh yes I remember being told back in 2008 do not think you are getting that money lady! probably by you my friend.

Grumpy_Shunter

I had a nil tax code just for four weeks. I informed all relevant parties about this but I'm still waiting for someone to collect it - it's been two months now!!

Time to ring MB, again!