Change in tax code / personal allowance

emlarbs

Hello,

Question for those who have knowledge of IPAs:

When the personal tax allowance changes in the new financial year, do we have to declare the small increase in take home pay and review the IPA amount?

Gross salary will not have changed but with a higher tax threshold, less tax will be payable and therefore I'll have more take-home pay (albeit maybe only a few £s). Is the OR interested in this?

Thanks

luvchocolate

When it changed last time I was £20 per month better off, but my energy bills had gone up, I increased my dd £20 and sent the letter from my energy co to my trustee,
slightly different as not paying an ipa, but was undischarged so the £20 could have gone on one.
I would speak to you or and also look at any increases on your outgoing. ....may cancel out like mine did.
I do hope that makes sense!!

TheGardener

If you have an NT code IPA, it ends at the beginning of a new tax year or if you change jobs (whichever happens first) so from the start of the new financial year 2014, you will go back to paying normal tax. Any income based IPA carries on until the 3 years is up so there would be a change in the amount you pay anyway - at least I think that's how it works - I'm sure one of the experts will be along to correct me if I'm wrong.

emlarbs

Thanks for your replies.
I'm in an income based IPA so guess I will need to advise of the increase in take home pay but I will also check my outgoings again as my rent has just gone up and a couple of other bills have changed recently.