Have I overpaid tax?

friendlyface1

Hello,

I'm currently trying to get some information about this issue out of the payroll department at my new employer but its proving difficult, so I'm here to try arm myself with some knowledge for when they do finally respond!

6 weeks ago I started a new job.

My first wage was for part of the month. I filled in a P46. I then passed on my P45. The tax code was 1000L. No problems.

My first full months wages came through the other day. The tax code has now changed to 940L.

Firstly I think this is wrong, I think it should be 1000L. But fine, the different would be negligible.

However, using the various calculators available online I have worked out how much tax I should've paid. And what I've actually paid is £187 too much.

I don't think it's an emergency tax type situation because the tax codes don't suggest that to be the case.

And besides, if I take 20% off my gross monthly wage the numbers don't add up.

So I think it's a mistake and I've just paid too much, for some reason.

If anyone with any knowledge in this area could give me any advise, it would be greatly appreciated.

jem16

friendlyface1 wrote: »

Hello,

I'm currently trying to get some information about this issue out of the payroll department at my new employer but its proving difficult, so I'm here to try arm myself with some knowledge for when they do finally respond!

6 weeks ago I started a new job.

My first wage was for part of the month. I filled in a P46. I then passed on my P45. The tax code was 1000L. No problems.

So the tax code on the P45 was 1000L?

My first full months wages came through the other day. The tax code has now changed to 940L.

Have you received a P2 Coding Notice for the 940L tax code? If so what did it say?

Do you receive any taxable benefits at the new job - ie medical insurance, company car?

Firstly I think this is wrong, I think it should be 1000L. But fine, the different would be negligible.

However, using the various calculators available online I have worked out how much tax I should've paid. And what I've actually paid is £187 too much.

You would need to provide figures for us to make a comment.

I don't think it's an emergency tax type situation because the tax codes don't suggest that to be the case.

Emergency tax code would be 1000L used on a non-cumulative basis.

friendlyface1

jem16 wrote: »

So the tax code on the P45 was 1000L?



Have you received a P2 Coding Notice for the 940L tax code? If so what did it say?

Do you receive any taxable benefits at the new job - ie medical insurance, company car?



You would need to provide figures for us to make a comment.



Emergency tax code would be 1000L used on a non-cumulative basis.

Thanks for the reply.

Sorry, the tax code on my P45 for 940L.

My first payslip, for my part wage after starting the job, was 1000L

Never heard of a P2 coding notice. Never seen one.

I claim back travel expenses (45p per mile first 10k, 25p after that)

The two things were paid separately.

My basic is 32k. From that I think I should've paid £366.67 in Tax. I've paid a little over £550.

Hopefully that helps!

jem16

friendlyface1 wrote: »

Thanks for the reply.

Sorry, the tax code on my P45 for 940L.

Then they are correct to use the code from the P45 which is why it's 940L.

What was the leaving date on the P45?

My first payslip, for my part wage after starting the job, was 1000L

That's because you filled in a P46 and 1000L is the emergency tax code.

Never heard of a P2 coding notice. Never seen one.

If your P45 is from this tax year and it had a tax code of 940L then you should have received a P2 Coding Notice to explain why it wasn't 1000L which is this year's tax code.

My basic is 32k. From that I think I should've paid £366.67 in Tax. I've paid a little over £550.

Hopefully that helps!

It doesn't really help, no. All it confirms is that you have paid more tax than what would be expected. However it doesn't explain why.

You would need to give more information such as what figures were on the P45. Then the figures from your first pay slip - ie gross pay, tax paid, gross pay to date and tax paid to date. Then the figures from your current payslip - ie gross pay, tax paid, gross pay to date and tax paid to date.

Only then could we possibly see what's going on.

adolphin10

If you ticked box b on the p46 you shoul have been on 1000l non cumulative in month 2 (May).

If your p45 last period paid is also month 2 it is likely that you have had the personal allowance twice (this often happens when going straight from one job to another and is not incorrect).

In this case you have an immediate underpayment of approx £165 in that particular month which would then be clawed back when your p45 is used. If this is the case your tax will reduce back down next month.

Of course we still need to know the date on the p45!

browneyedbazzi

I had a similar issue with my tax code at the beginning of this financial year - I called up my tax office and they very patiently explained why my code is what it is and also sent out a new coding notice to explain it as I hadn't received the previous one. It's worth speaking directly to the tax office as they'll have all the relevant information and be able to give a definitive answer.

agrinnall

jem16 wrote: »

If your P45 is from this tax year and it had a tax code of 940L then you should have received a P2 Coding Notice to explain why it wasn't 1000L which is this year's tax code.

Unless of course the OP's tax code for 2013-4 was 884L, in which case the basis didn't change this year so no P2 would have been needed. But he should have had one at some point in the past.