Wrong Tax Code ?

Any

Tax years go from 6th April to 5th April.
So we need all payments made from April. Doesn't matter which employer.
On the payslips there should be column-tax month- 1, 2, 3 and so on (or weeks) so you know in which tax year has each payment been made.

molerat

My theory is that there were 2 pay days from the previous employer and the May allowance has been used twice. Tax due on the last pay was around £65.20. 232.60 - 65.20 = 167.40 * 5 = 837, too close to the monthly tax free allowance for 1000L to be a coincidence.

Milo23988

on my p45 from my previous job

leaving date : 19.5.14

month number is :2

total pay to date : 2904,88

and

tax pay to date : 246,20

so yes total gross equals 8305,62 now ...sorry for the confusion

in this case i was just wondering why the deductions from my last payslip are this high and if they are correct ...

thanks

chrisbur

Milo23988 wrote: »

on my p45 from my previous job

leaving date : 19.5.14

month number is :2

total pay to date : 2904,88

and

tax pay to date : 246,20

so yes total gross equals 8305,62 now ...sorry for the confusion

in this case i was just wondering why the deductions from my last payslip are this high and if they are correct ...

thanks

All is explained. You received a tax allowance from your old employer and your new employer for the same month. Due to overlap in payments you have had two paydays from old employer and five from new employer, seven in total; but we are only up to month 6 so one has to go without a tax allowance, this was your last payday. For figures see post from molerat.

This has now corrected your tax and from now on tax will be about the same as it was before this correction, so if you got £1159 next month tax would be about £65.

Milo23988

thanks

So it has to go like this, that money will not be refunded ? one has to go without allowances?

mgdavid

you had two paychecks in the same month.
Paycheck #1 used up you tax allowance for that month, so paycheck #2 is all taxed at 20%. It's correct.

chrisbur

Milo23988 wrote: »

thanks

So it has to go like this, that money will not be refunded ? one has to go without allowances?

I am afraid that you get an allowance for the year, when you are paid monthly you get 1/12 of that for each month and that usually means you get one allowance per payday. Occasionally something happens that throws this out a bit, in your case a change of job which had a different payday or possibly a late payment from your old employer (cannot say exactly on the details available ). You will have had thirteen payments made to you by the end of the tax year so one of them has to have no tax allowance.
Your total taxable gross to date is 8305.62 and you are on month 6 so get half of your total tax allowance for 1000L. The way tax allowance is done this actually works out a fraction over half of £10000 so in practice you get just over £5004 at month 6. This gives £8305 less £5004 which is £3301 on which tax is due at 20% which is £660.20.

Milo23988

thank you very much ! been really helpful , now everything is clear :j