HRMC changed my Tax Code to 1210M

Brandnewstart79

Hi all,

Had a letter through saying my tax code has changed to 1210M. My wife is a low earner and apparently I have received a transfer of her personal allowance.

The reason i'm querying this is i'm paying an IPA so if I receive more of a tax allowance I will have to give it to the OR?

Any help would be appreciated.

National_Debtline

Hi there,


When you go bankrupt your tax code should be put to zero for the 12months that you are bankrupt. This can sometimes mean that people have an IPA for the first 12months of bankruptcy only because once they have to pay tax again the IPA is no longer applicable. If this tax allowance has increased your surplus then you will need to inform the OR and it is possible your IPA will increase.


I'm afraid I am not sure about how or why you have been transferred your wife's tax free allowance - I think you would need to speak to the HMRC or OR about this (whoever sent the letter). When did you go bankrupt by the way? Have you been discharged? I hope you get it sorted,


Laura
@natdebtline

Brandnewstart79

Hi there,

I declared BR last August 15and pay and I didn't pay until last April. I had a letter saying that my new tax code was 1100L then I just received a new one saying its 1210L and I'm getting my wife's tax allowance. I spoke with HRMC and they have hopefully changed it and put it down as an error so hopefully that will counteract the rise in my wages due to this tax allowance.