Self-assessment -- Being repaid tax and I don't know why

afm_2

Hi all,

I don't have much experience with this stuff and I am very confused because I have just filled in my 2012-2013 self-assessment and I am being told that I will receive some tax back -- I have no idea why!

I am actually afraid that I may have made a mistake in my SE.

I am registered as self-employed just for mystery shopping assignments and any work that might come up. In 2012-2013, I only had a profit of £81 and I had no other job. I received some taxed interest from savings that amount to £65.

I am now being told that I am being repaid about £16. I just can't understand why. Where have I paid tax? The tax on the interest was only £2 so it can't be it. Any ideas why this is happening? Is it likely that I made a mistake here?

Thank you!

scragend

afm wrote: »

Hi all,

I don't have much experience with this stuff and I am very confused because I have just filled in my 2012-2013 self-assessment and I am being told that I will receive some tax back -- I have no idea why!

I am actually afraid that I may have made a mistake in my SE.

I am registered as self-employed just for mystery shopping assignments and any work that might come up. In 2012-2013, I only had a profit of £81 and I had no other job. I received some taxed interest from savings that amount to £65.

I am now being told that I am being repaid about £16. I just can't understand why. Where have I paid tax? The tax on the interest was only £2 so it can't be it. Any ideas why this is happening? Is it likely that I made a mistake here?

Thank you!

If you received £65 net interest, that is equal to £81.25 gross less £16.25 tax.

Sounds like that is where your £16 repayment is coming from.

What makes you think the tax on the interest was only £2?

afm_2

Hi scragend,

thanks for your reply. In the bank statement the taxed and untaxed interest are detailed and the difference is only £2. That's why I don't understand.

Thanks.

zygurat789

afm wrote: »

Hi scragend,

thanks for your reply. In the bank statement the taxed and untaxed interest are detailed and the difference is only £2. That's why I don't understand.

Thanks.

So you received some interest which was taxed and another payment which was not taxed.
These items should be entered in seaparate places on the tax return. You may have entered the whole amount as taxed interest.

afm_2

Hi zygurat789,

I haven't. I have entered the total income, allowable expenses and taxed interest in separate areas of the SA.
I think the issue may be the calculation of tax from the bank as there's no way that £2 is 20% of £67. Any ideas why the bank would do this?

Thanks!

zygurat789

afm wrote: »

Hi zygurat789,

I haven't. I have entered the total income, allowable expenses and taxed interest in separate areas of the SE.
I think the issue may be the calculation of tax from the bank as there's no way that £2 is 20% of £67. Any ideas why the bank would do this?

Thanks!

Interest, taxed or untaxed is not entered in self employment.
I have no idea why banks do what they do, you will have to ring them.
If you look on the detailed calculation you will see where the tax comes from.

afm_2

Are you sure about not entering interest in self-assessment? I am asked for it explicitly

zygurat789

afm wrote: »

Are you sure about not entering interest in self-employment? I am asked for it explicitly

When you "Tailor your return" one of the questions asks "have you received any interest" with a yes/no pull down box. This iswhere you put interest received.
Interest now appears as a separate page.

Several questions later "Did you have any income from self employment"

Where are you asked for interest?

afm_2

zygurat789 wrote: »

When you "Tailor your return" one of the questions asks "have you received any interest" with a yes/no pull down box. This iswhere you put interest received.
Interest now appears as a separate page.

Several questions later "Did you have any income from self employment"

Where are you asked for interest?

I have answered yes to the question and then a UK interest section appeared. I added the interest in the section.

I also answered yes to self-employment and added the income from self-employement on the self-employment section. I wasn't asked for interest in the self-employment section.

Is this what you were asking?

zygurat789

afm wrote: »

I have answered yes to the question and then a UK interest section appeared. I added the interest in the section.

I also answered yes to self-employment and added the income from self-employement on the self-employment section. I wasn't asked for interest in the self-employment section.

Is this what you were asking?

You twice said in posts 5 & 7 that you entered interest in the self employed section.
Now you say you entered it in the interest sect OK
There are two options Received gross & received net. We're back to you ringing your bank to find out.

afm_2

zygurat789 wrote: »

You twice said in posts 5 & 7 that you entered interest in the self employed section.
Now you say you entered it in the interest sect OK
There are two options Received gross & received net. We're back to you ringing your bank to find out.

I am really sorry! Just read back my posts and I was meant to say self-assessment and not self-employment. Apologies for the confusion caused and thanks for you time.