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tax credits & benefit in kind for car??
tiredwithtwins
Posts: 476 Forumite
hi
apologies if I have posted this in the wrong forum, please feel free to move me!!
its a question about my tax credits that I was getting for me and my two sons who are in fulltime fe - and the effect of a having a car through the nhs lease system. I am a nurse in the nhs, which runs a car lease scheme, and it comes out of my wages every month. the nhs say they don't issue P11D's anymore at the behest of hmrc as im taxed at source and to include a P11D figures would mean im taxed twice (???) - this was info I got in an email from my trust's payroll dept.
when it comes to the tax credits renewal, it gives conflicting advice - on page 16 of the guide book it says if you receive payrolled benefits in kind (which I presume is what I get?) you deduct the amount of b-I-k from your income .. however when I go online to do the renewal it asks for figures from the P11D.
Do I take the b-I-k amount off my income and just ignore the bit online that asks for info from the P11D .. or do I put the amount in (which then means my income goes up by around£3k!)
im totally confused ..
can anyone offer advice/guidance please?
seems a bit rubbish to add it into your income when you are actually paying it out!!
thank you for any advice ..
apologies if I have posted this in the wrong forum, please feel free to move me!!
its a question about my tax credits that I was getting for me and my two sons who are in fulltime fe - and the effect of a having a car through the nhs lease system. I am a nurse in the nhs, which runs a car lease scheme, and it comes out of my wages every month. the nhs say they don't issue P11D's anymore at the behest of hmrc as im taxed at source and to include a P11D figures would mean im taxed twice (???) - this was info I got in an email from my trust's payroll dept.
when it comes to the tax credits renewal, it gives conflicting advice - on page 16 of the guide book it says if you receive payrolled benefits in kind (which I presume is what I get?) you deduct the amount of b-I-k from your income .. however when I go online to do the renewal it asks for figures from the P11D.
Do I take the b-I-k amount off my income and just ignore the bit online that asks for info from the P11D .. or do I put the amount in (which then means my income goes up by around£3k!)
im totally confused ..
can anyone offer advice/guidance please?
seems a bit rubbish to add it into your income when you are actually paying it out!!
thank you for any advice ..
wading through the treacle of life!
debt 2016 = £21,000. debt 2021 = £0!!!!
debt 2016 = £21,000. debt 2021 = £0!!!!
0
Comments
-
You are confusing yourself.
Your P60 might show say £30,000, made up of taxable pay and patrolled benefits. So no need for a P11D.
The tax credit office want to know two separate figures, your taxable pay and taxable benefit in kind from having a company car.
So you follow their guidance and end up with say a pay figure of £26,000 and benefit figure of £4,000. You are still only declaring £30,000, the figure from your P60, just in a more complicated fashion.Box 2.3 on your declaration – Company car and fuel, taxable vouchers
and benefits in kind from all jobs
Your employer will give you the annual details of benefits in kind you receive on form P11D.
Payrolled benefits in kind
Step B of your Annual Review may show payrolled benefits in kind you have received in the year. Your employer may have included these benefits in kind in the earned income figure on your P60 or payslips. If this is the case:
• deduct the amount of all payrolled benefits in kind from the total pay figure shown on your P60 or payslips
• enter the remaining earned income figure at the top of Working Sheet 1 and follow the stages to calculate the income figure to enter at box 2.2
• use Working Sheet 2 on page 18 to calculate the figure you need to enter in box 2.30
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