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Relocation tax rebate - timeframe

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ryan316
ryan316 Posts: 11 Forumite
edited 14 April 2014 at 11:39AM in Cutting tax
Deleted, no longer needed

Comments

  • 00ec25
    00ec25 Posts: 9,123 Forumite
    1,000 Posts Combo Breaker
    I don't understand what you mean by "tax duty on the new house", the tax free limit for relocation expenses is £8,000 so bear that in mind if you spent more than that as to date the employer has acted prudently be treating the £10K as taxable pay

    http://www.hmrc.gov.uk/payerti/exb/a-z/r/relocation.htm
  • 00ec25
    00ec25 Posts: 9,123 Forumite
    1,000 Posts Combo Breaker
    OK lets get specific:

    you have been paid £10k via taxable pay, does your employer require you to submit receipts to them to prove what you have spent the money on?
    The £10k will in essence be treated as a flat rate allowance, but subject to the £8k limit
    http://www.hmrc.gov.uk/manuals/eimanual/EIM03139.htm

    so the max tax refund you can get is 8k x 20%/40%/45% depending on your tax band. Your other receipts are irrelevant since £8k is the max allowed tax free and you say the SDLT will account for more than £8k on its own
    http://www.hmrc.gov.uk/manuals/eimanual/EIM03110.htm

    which form has HMRC told you to use?
    it is impossible to say what the time scale will be. As you can imagine HMRC are inundated with paperwork after the year end and it can take them several weeks before they even open the envelope let alone process its contents. expect a minimum of 2 months before you even begin to wonder where it is
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