Paying tax on overtime

Funkychicken

I work part time so I do not get taxed. I have done some overtime and have just been underpaid by my employer by around £300. They have accepted it is their fault and they are looking at 'emergency payment', if even possible.

In the worse case scenario where I have to get this underpayment with my next pay, will it mean I'm taxed more? I ask because I will earn overtime in my next pay (from my usual £900 to £1200). That's is with the extra 300 on top, so a total of £1500. Does this work out as higher tax?

chrisbur

Providing that you are on a cumulative tax code it will make no difference. Without knowing your tax code and earnings I cannot say whether you will pay tax but if you do it will be tax you would have paid whenever the payment was made.

If your tax code is non-cumulative it may well result in extra tax but this would eventually be corrected if it meant that this tax was not due.

Ask your payroll dept if you are not sure of your tax basis or check your tax basis on your payslip. This usually follows your tax code, things like X 1 non-cumulative show non-cumulative while 0 cumulative or the first three letters of it show cumulative.
Difficult to show cumulative abbreviated as it comes out as !!!.

Dazed_and_confused

As you haven't given any specifics, taxable pay so far this year, whether you are paid weekly or monthly, tax code etc etc it really is impossible to give a meaningful answer.

But if you are on the standard tax code of 1150L on a cumulative basis then you can have earned about £6,700 by the end of October before any tax needs to be deducted.

If you have earned enough to have to pay tax this would be refunded later in the tax year if your salary returns to normal and returns to an annual amount under your personal allowance, whether that is £11500 or £10350. And you are on a cumulative tax code.
If you are married and you have applied for Marriage Allowance that figure would reduce to about £6,000 (and you tax code would be more like 1035N).