Tax office saying underpaid tax yet again. Correct?

jem16

JustAnotherSaver wrote: »

My mum found paperwork saying why she never got Bereavement Allowance - it was because her IB at the time was higher & she wasn't allowed to receive both. She could've received BA if she wanted, but then who's going to take the lesser benefit, so she stuck with IB.

Very sensible. Hopefully you will now remember this if the same question crops up again next year. If you had come back to that thread last year, we might have picked this up earlier.

Those are just some dates i selected. If you need more i can provide them.

No need for more figures. It's clear now why your Mum did not receive Bereavement Allowance.

I suspect that when HMRC told your Mum Widow's Pension, they really meant Bereavement Allowance although it would be helpful if their call centre staff could get the names correct.

Hopefully you will get it all sorted now. Based on the earlier P800 figures, your Mum's total income for 2012/13 should be £9168. Taking off the personal allowance of £8105 should leave taxable income of £1063 at 20% which is £212.60 owed rather than £763.40.

If the previous tax year is also incorrect, that should be reworked too.

What is important going forward is that her tax code is correct. From the 2nd of the 2 P2 Coding Notices you scanned, it appears that her tax code for this tax year is 375L which is correct and should avoid any underpayment for this tax year. However you didn't scan page 2 of that 2nd notice which would tell us if the tax code is being used non-cumulatively. If it is there might still be a small underpayment as the wrong tax code of 661L was being used initially. The scanned payslips looks as if it's roughly correct for the 7th month though.

jimmo

Well done jem16!
Despite the fact that I retired 7 years ago I really should have known that (State) Widows Pension stopped in 2001. I like to think I have an excuse for my blunder in post #3 but if current HMRC staff are still making the same blunder that really is bad.
I have to say I really admire your persistence in seeing this thread through.

JustAnotherSaver

jimmo wrote: »

Well done jem16!
Despite the fact that I retired 7 years ago I really should have known that (State) Widows Pension stopped in 2001. I like to think I have an excuse for my blunder in post #3 but if current HMRC staff are still making the same blunder that really is bad.
I have to say I really admire your persistence in seeing this thread through.

Agreed. jem16 is certainly one of the most helpful members of the board i have found.