Personal Tax Allowances 65+

hansi

I turn 65 in November 2008 and I am aware that I get an extra allowance from 65 years of age. Will I have to wait till the following tax year (2009/10) to claim it,or will my tax code be adjusted from November 2008?

krisskross

I believe your code number is altered to take the higher personal allowance into account for the whole of the tax year that your 65th birthday falls in. As you are 65 in Nov. 2008 then you should get the higher allowance for the whole of tax year 08-09.

hansi

Thanks. Do I have to HMRC know or will they do it automatically?

roddydogs

Hope you dont have income over £24000, or else you wont get it £20900-£24000 you lose some!

hansi

I wish:rolleyes: . Is it automatic or do I have to let them know?

bruisedknees

hansi wrote: »

I wish:rolleyes: . Is it automatic or do I have to let them know?

You don't have to let them know. HMRC will have your date of birth on record and will/should give you the increased allowance automatically.

hansi

Thank you everyone :beer:

Tarasam

bruisedknees wrote: »

You don't have to let them know. HMRC will have your date of birth on record and will/should give you the increased allowance automatically.

This doesnt always happen automatically, at the start of next tax year i would ring and make sure your code is reflecting this.

Kelly

bruisedknees

kellyshay wrote: »

This doesnt always happen automatically, at the start of next tax year i would ring and make sure your code is reflecting this.

Kelly

hansi

The answer to your question is that you shouldn't HAVE to tell HMRC because, as I said, they will have know your date of birth and should automatically include the extra allowance in your code for 2008/09.

You should receive your code for the year 2008/09 in approximately January 2008 so if the extra allowance is not included you can contact HMRC then. Do not wait until the start of the tax year in April 2008.

BoGoF

It will not be done automatically. Although your date of birth may be known HMRC will not know your total income. What should happen is that a form P161 (Pension Enquiry Form) should be issued 3 months before you turn 65.

This asks for details of all your sources of income so that they can determine if full age allowances are due. If you want it adjusted sooner then you should write to your tax office at the beginning of the tax year with a summary of your estimated income (including savings income). Not sure if you are male or female but if male and will start to receive state pension in November 2008 this will be deducted from your tax allowance.

RayWolfe

I would just reiterate what some others have mentioned. It should be automatic but check! They may think you earn more than £19,100 or whatever the age allowance is.