Paye

keithing-ger

Apologies if this is not right bit, not a frequent user.

I have a part time job, and for the last 2 months, I have been on emergency tax. I am below £12,000 so well within my personal allowance for paying no tax this year.

Last 2 months I have had £315 taken from my gross.

I have spoke to HMRC and it should be sorted before next pay.

At my next pay when my employer processes the payment, does HMRC send them the £315 to add to my wage?

I can understand if I was due to pay £500 next pay, they would only ask for £185, but unsure how I get the money in the next pay.

Apologies if this is rambling nonsense! x

Pennywise

The employer will deduct your tax refund from the tax/nic they are due to pay HMRC from other employees. If there are no other employees and nothing to set it against, they can claim it back from HMRC.

spadoosh

It depends on the tax code they give you.

If youre put on a cumulative tax code you will receive the refund immediately. If your put on a non cumulative tax code it will likely need to be claimed at year end. You can tell the difference because there will be a 'W1' or and 'M1' after the tax code and it sounds like you should be put on a cumulative tax code.

HMRC rarely send money out to employers. More than likely itll be a case of the tax you are owed will be offset by someone who is paying tax.

eg. theres 10 employees. 9 Pay tax of £200, you are due a refund of £200. The company then pays the tax man £1600 (9x£200 less your £200 refund) who allocate accordingly. How its paid isnt of concern to you, just as long as it is.

Dazed_and_confused

The emergency tax code means tax is only deducted if you earn more than £988/month.

£315 tax in two months suggests you are earning well above the level of the Personal Allowance

Without knowing more about previous income in this tax year, the code you and your employer have been sent by HMRC and what you have earned with this company its impossible to say with any certainty if you will get the full £315 back in your next wage.

By the end of November we will be 8 months into the tax year so if the emergency tax code of 1185L has been issued but on a cumulative basis then no tax would be payable if taxable wages were less than £7906 by then.

If over that some tax will be due, but possibly less than the £315 already deducted.

As others have said funding of any refund due to be paid by your current employer isnt something you need to be concerned about.