Should I be able to get a tax refund?

lonewolf123

Hi I started a job back in September last year and my first pay check was for the end of September. I had no job prior to that.

However from my knowledge when I looked at my payslip for each month, the personal allowance I have (9440 last year) was equally split into 12 months when in the tax year I have only worked for 7 months (September to March).

So I was wondering should I be able to get a tax refund since I have technically lost 5 months of my 9440 allowance (£3933).

Do I contact HMRC about this, what do they ask for? So what documents do I need?

Thanks

chrisbur

lonewolf123 wrote: »

Hi I started a job back in September last year and my first pay check was for the end of September. I had no job prior to that.

However from my knowledge when I looked at my payslip for each month, the personal allowance I have (9440 last year) was equally split into 12 months when in the tax year I have only worked for 7 months (September to March).

So I was wondering should I be able to get a tax refund since I have technically lost 5 months of my 9440 allowance (£3933).

Do I contact HMRC about this, what do they ask for? So what documents do I need?

Thanks

This will depend on whether or not you overpaid tax. If you were on a cumulative tax code by the year end then you will have paid the correct tax so nothing will be due; if you were on non-cumulative then tax rebate is probably due.
Best to give total taxable earnings for the year (do not forget to include any jobseekers if applicable) and total tax paid then your tax position can be judged.

lonewolf123

chrisbur wrote: »

This will depend on whether or not you overpaid tax. If you were on a cumulative tax code by the year end then you will have paid the correct tax so nothing will be due; if you were on non-cumulative then tax rebate is probably due.
Best to give total taxable earnings for the year (do not forget to include any jobseekers if applicable) and total tax paid then your tax position can be judged.

Thanks

My tax code is 944lm1. I heard that m1 means it is non-cumulative.

My pay is £21k gross and each month I get £1424.81 into my bank account.

I checked this on online tax calculators and they give the same figure. However they too assume that personal allowance is equally split out (so £786.67 each month).

However as you know, my circumstance is slightly different in that it should be £1348.57 per month as I have only been working for 7 months of the tax year.

I also didn't gain any benefits at all during the tax year as I came straight out of university to this job.

CLAPTON

how much was your gross pay for the year (from your P60 or your march payslip)

how much tax did you pay for the year

lonewolf123

CLAPTON wrote: »

how much was your gross pay for the year (from your P60 or your march payslip)

how much tax did you pay for the year

Thanks

My gross is £21k

From my P60:

Under pay in this employment is £5149.05

Under tax deducted in this employment is £556.80

Tax code: 944LM1

CLAPTON

if your annual pay is 21k per annum, how did you only earn 5149.05 between september and march (i.e. 6 months)?

scragend

lonewolf123 wrote: »

Thanks

My gross is £21k

From my P60:

Under pay in this employment is £5149.05

Under tax deducted in this employment is £556.80

Tax code: 944LM1

That only looks like three months' worth of pay at that salary level - but you said you worked for 7 months in the year?

Anyway, if the P60 figures are correct and you had no other income in the year, you would be entitled to all of that tax back, because your total income was below the personal allowance.

chrisbur

lonewolf123 wrote: »

Thanks

My tax code is 944lm1. I heard that m1 means it is non-cumulative.

My pay is £21k gross and each month I get £1424.81 into my bank account.

I checked this on online tax calculators and they give the same figure. However they too assume that personal allowance is equally split out (so £786.67 each month).

However as you know, my circumstance is slightly different in that it should be £1348.57 per month as I have only been working for 7 months of the tax year.

I also didn't gain any benefits at all during the tax year as I came straight out of university to this job.

On 944L month1 at the year end will have proberbly resulted in the over payment of tax. I understand that this will eventually be picked up by HMRC and the over payment refunded; but I would be inclined to ring HMRC and get a claim in.
In the circumstances you have described your new employer could have put you onto 944L cumulative from your first payday and you would then have paid the correct tax (assuming 944L is the correct code for you)from the start of your employment. Being on 944L non-cumulative may have been the result of a mistake on either your employer's part or yours.
The code of 944L will be your correct tax code unless you have anything that changes it for example a taxable benefit from your employer or old tax owed.