Tax Code Change

skyranger

Hi

Checking my payslip today I my tax code has gone from a steady 1150L to 974L

Nothing has changed in my situation but this has meant I've paid more tax.

I've had this with change of jobs etc but not without due cause?

TadleyBaggie

Contact HMRC, they will be the only ones who will know why it was changed.

Mahsroh

As the post above says, best way is to contact HMRC but are you sure there aren't any benefits being provided by your new employer? Private medical insurance? Company car? Fuel Card?


If you cant get through to HMRC (tax return deadline looming so lines will be jammed) then check with your employer. If you haven't advised HMRC of any change to your circumstances then there's a chance it's come as a result of information provided by your employer......

BoGoF

We date of leaving is on your P45 and what week/month number is shown and when did you start new job?

You may have received the benefit of one months personal allowance at the 2 jobs causing an underpayment.

agrinnall

BoGoF wrote: »

We date of leaving is on your P45 and what week/month number is shown and when did you start new job?

You may have received the benefit of one months personal allowance at the 2 jobs causing an underpayment.

I don't think there is a new job, the OP only mentions new job in the historical context of having had tax code changes in the past when changing jobs,but has specifically said "nothing has changed in my situation".

Mahsroh

agrinnall wrote: »

I don't think there is a new job, the OP only mentions new job in the historical context of having had tax code changes in the past when changing jobs,but has specifically said "nothing has changed in my situation".

Good point - I've just re-read it and you are correct. It's in an historical context.


Only other logical answer is it's to correct a previous underpayment. But to be taxed on an additional £1760.00 seems like a big underpayment for someone who hasn't changed jobs recently and doesn't have any benefits in kind to muddy the water.


Best option here remains as per the first reply.....Call HMRC.

skyranger

Thanks all - yes was avoiding the HMRC due to the time of year and also sometimes the experience is painful.

I lied actually because there has been changes - so my contributions of private medical cover etc have changed slightly - I haven't changed my preferences but the costs have changed by the odd £. Also I was overpaying for a couple of months into my pension.

However the above seems separate charges after tax anyway.

Mahsroh

skyranger wrote: »

Thanks all - yes was avoiding the HMRC due to the time of year and also sometimes the experience is painful.

I lied actually because there has been changes - so my contributions of private medical cover etc have changed slightly - I haven't changed my preferences but the costs have changed by the odd £. Also I was overpaying for a couple of months into my pension.

However the above seems separate charges after tax anyway.

Is your private medical cover provided by your employer? If so, how long have you had this? And what are your contributions that you refer to?


I'm guessing, but now you've mentioned medical cover, it could potentially be HMRC catching up on an underpayment. If you're tax code was 1150L and you've had medical cover provided by your employer this suggests that you haven't been taxed on it when you should have been? £1,760.00 seems like a realistic figure if it was, say, two years worth.... i.e. £880 per year.

skyranger

The private medical cover is covered (no charge for me & family). The additional payments (which I've always paid) are things like critical illness and life assurance items

Mahsroh

skyranger wrote: »

The private medical cover is covered (no charge for me & family). The additional payments (which I've always paid) are things like critical illness and life assurance items

Sorry, I'm confused now. So are you saying the medical cover (for you and your family) are covered by your employer? If so, this is a benefit in kind and is taxable.


Whilst there may be no charge (from your employer/medical insurance provider) to you, it is still taxable. If I've interpreted that correctly, I suspect this is what the tax code change relates to.

agrinnall

I'm inclined to agree with Mahsroh, but in the absence of a P2 Coding Notice the one sure way to know is to log on to your Personal Tax Account which will tell you how your tax code is composed.