How to ensure my employer gives me the correct tax code in the FIRST month

Dazed_and_confused

Naf wrote: »

Sorry to resurrect; although the thread isn't that old. I'm a student hoping to find work over the summer too; just wondering (assuming I find some) if I'll be taxed each month and then have to claim back from HMRC, or if the fact that I've earned nothing so far this year will be accounted for in the tax code that'll be issued?

Have you had any (taxable) income/earnings at all yet in this tax year?

Naf

Dazed_and_confused wrote: »

Have you had any (taxable) income/earnings at all yet in this tax year?

I'm not 100% sure if any of my student finance counts. But even if some did, that's only £2-3k

Coraline

I had this same situation, I was placed on "Emergency Tax" (Not quite sure what the emergency part of is yet) as I never worked in The U.K. before.

I called up our HR department and they directed me to P46 form. I filled it in and posted it off. The process was pretty straight forward.

Today was payday and I received all of my overpaid taxes in one lump-sum for the past two months in addition to my regular pay.

Guess this calls for a night out on the town.

Dazed_and_confused

Naf wrote: »

I'm not 100% sure if any of my student finance counts. But even if some did, that's only £2-3k

Assuming you mean a student loan or grant and not a part time job you have had whilst being a student then no this wouldn't count.

When you start your job your employer should ask you the following questions,

A. This is their first job since last 6 April and they have not been receiving taxable Jobseeker's Allowance, Employment and Support Allowance, taxable Incapacity Benefit, state pension or occupational pension.
B. This is their only job, but since last 6 April they have had another job, or have received taxable Jobseeker's Allowance, Employment and Support Allowance or taxable Incapacity Benefit. They do not receive state or occupational pension.
C. They have another job or receive a state or occupational pension.


If you can answer yes to A then your employer should use the emergency tax code number of 944L but will back date it to April so you get the full allowance due to when you are first paid.

For example if you start work in July and are paid at the end of that month your pay will fall into month 4 of the tax year so you could be paid £3150 without paying tax. The tax free amount increases by £787 each month thereafter upto £9449 in month 12.

Naf

Dazed_and_confused wrote: »

Assuming you mean a student loan or grant and not a part time job you have had whilst being a student then no this wouldn't count.

I get a Parents Learning Allowance, and Adult Dependants Grant - at least some of which I think is classed as taxable income.

Dazed_and_confused

Naf wrote: »

I get a Parents Learning Allowance, and Adult Dependants Grant - at least some of which I think is classed as taxable income.

I don't think either are taxable for income tax purposes but they could be relevant for calculating tax credits, HMRC should be able to say for certain.