Claiming PAYE tax back after redundancy

Millsa

Hello!

I've given up trying to get to speak to someone at HMRC so hopefully someone out there can help, this is my situation;

- I was employed until May 31st 2013 up to which point I was PAYE.
- At the end of May I received a redundancy payment on top of my normal (final) monthly salary and ended up paying rather a lot of tax for the month.
- I've now set up my own limited company of which I'm the director, however I'm not planning to draw any salary from it until next financial year therefore meaning I've not earned any further income since my last employment.

Can I reclaim the tax paid for this financial year NOW, or do I need to wait until April?
If yes, how? Do I use the P50 HMRC form, and if so, what is my classification in terms of 'employed/unemployed' etc.

I know this should be so easy to resolve by speaking to HMRC but I have given up the will to live trying to contact them.

Any experts out there....PLEASE!!!!!!

Thanks in advance.

xylophone

http://www.hmrc.gov.uk/incometax/stop-work-refund.htm might be worth a look.

uknick

I've just applied for an in year tax refund resulting from an ET settlement. The tax overpayment is large enough to warrant not waiting until the end of the tax year. I'm not working at the moment, but have savings income.

I spoke to HMRC and they said it can be done in year without waiting for the tax year to finish. However, this is treated as an estimate of tax to be repaid and a self assessment is required once the tax year has ended to ensure the correct tax has been paid/refunded. Strange as it may seem, I got through to them after waiting less than 5 minutes.

I applied via a letter as no forms were mentioned by the HMRC help desk. My letter included the tax computation, supporting documents and methodology used to calculate the refund figure.

Having said all that, it may be different for you as I've not worked at all during the tax year in which my ET was settled.

chrismac1

We've only got just over 2 months left in the tax year. A P50 should be processed by about 15 May or so. Your current status is "employed" as you are a director of your own company, who currently happens to be drawing no salary.

Millsa

Thanks chaps, that's all useful info. Who said tax doesn't have to be taxing!!!!!

Seanymph

If you register your company for PAYE - and put yourself on the payroll - and pay yourself a nominal amount then your company will refund your tax to you surely?