If tax calc. wrong?

ipri

Hi...my wife has small NHS pension..+ interest from savings. She has phoned HMRC to inform of her position.....she has been completely honest with them. She has now been given new code... a rebate and told she does not need to pat any tax While she is pleased with this...she thought she would fall into some tax bracket...Q. If later on they decide she should have paid...can they claw back?...do we call them again to confirm the position again? thanks

CLAPTON

she will in general need to pay any tax that is due

obviously she can phone again if she wants to

you could post the details here and people will check them for you

redpete

I'd check the numbers myself, easy enough to do. Add up her income (pension and savings), take off any tax already paid on the savings income. If the result is less than her allowances then she will not owe any tax.

If they made a mistake the first time why would they be any more likely to get it right the second time?

Savvy_Sue

How small is the pension, when did she start claiming it, has she had any other earnings this tax year, how much interest is she getting (and is it gross / net), and what is the tax code issued? And what was the tax code before that?

Also, if she started claiming it last tax year, when did she finish work and what was her income (P45) for that final tax year?

It may well be right, but without hard figures no-one can say ...

nomunnofun

redpete wrote: »

I'd check the numbers myself, easy enough to do. Add up her income (pension and savings), take off any tax already paid on the savings income. If the result is less than her allowances then she will not owe any tax.

If they made a mistake the first time why would they be any more likely to get it right the second time?

Add up her income from pension and savings (including any tax deducted). If the result is less than her allowances then she will not owe any tax and will be able to reclaim any tax deducted.

One does not deduct tax already paid to arrive at the figure of taxable income.

ipri

Hi...thanks to all....seem to have sorted things with HMRC...she IS tax free!!!

patanne

If you give the banks a form R85 they won't charge tax on the interest on her accounts in future. And as nomunnofun says you can reclaim what has already been paid.

John_Pierpoint

Savvy_Sue wrote: »

How small is the pension, when did she start claiming it, has she had any other earnings this tax year, how much interest is she getting (and is it gross / net), and what is the tax code issued? And what was the tax code before that?

Also, if she started claiming it last tax year, when did she finish work and what was her income (P45) for that final tax year?

It may well be right, but without hard figures no-one can say ...

& how old is she? [My mother was still working part time at the age of 70]
Month and year of birth should be enough without infringing her privacy.