Tax advice for 17 year old please

Narola1976

Apologies I think posted in the wrong place earlier.

Need some advice.

my 17 year old daùghter works for a well known supermarket. its her 3rd month. her contractual hours are 14 hours per week. she is a college student. according to her pay slip she has been deducted £126 for tax. £0 For NI.

this month she got her normal salary of £511, plus overtime, her total payment should be £633, but with tax deduction she only got £501. they pay monthly.

I thought if you earn under the tax threshold you are not taxed. she also got taxed in her first 2 pay checks but they seemed to balance out what she was paid. I thought they paid her more to be able to tax her but she ended up with what we thought she was supposed to.

sorry we are quite inexperienced. just want to know the law before she speaks to her manager

any advice would be appreciated. thank you

xylophone

What is her tax code?

https://www.gov.uk/student-jobs-paying-tax

Narola1976

Thank you for responding. her tax code is 1250L

BoGoF

Is that tax code taken from her payslips? The tax being deducted would suggest a BR (basic rate 20%) code being used. A code of 1250L should result in no tax on those earnings.

Narola1976

hello yes I have checked her pay slip and it clearly says 1250L

I have asked her to take her pay slips in when she goes to work to speak to the office staff

so it seems she should not have been taxed. her pay slip says to date she will have paid £351.40

Narola1976

should we call the tax office. the pay slip gives the phone number and employers reference number.

also the pay slip says :

tax basis: non cumul.

but then it gives cumulative figures for taxable pay and PAYE

kinger101

Narola1976 wrote: »

should we call the tax office. the pay slip gives the phone number and employers reference number.

also the pay slip says :

tax basis: non cumul.

but then it gives cumulative figures for taxable pay and PAYE

Even on a non-cumulative coding, she shouldn't have paid any tax. Someone in payroll has screwed up. She needs to refer this back to payroll.

Narola1976

morning. we just spoke to HMRC. they said my daughter had not been put on 1250L but rather the emergency tax code. so they have corrected it and she should see the rebate for all tax paid in next month's pay packet. thank you all for your advice. much appreciated.

unholyangel

Narola1976 wrote: »

morning. we just spoke to HMRC. they said my daughter had not been put on 1250L but rather the emergency tax code. so they have corrected it and she should see the rebate for all tax paid in next month's pay packet. thank you all for your advice. much appreciated.

Hopefully that will resolve the issue but don't be too surprised if it doesn't. As BoGoF explained, the tax deducted implies that it was taxed on BR and not the 1250L - even on a non-cumulative basis.

Which implies the error is elsewhere. Perhaps the payroll software the employer uses. Have any other colleagues had something similar?

Narola1976

thanks I will ask her to speak to payroll , thanks