Tax Code 1250L vs BR X

cheemsta

Hi, 
Today I received a letter from HMRC advising I owe £193 tax by Apr 2021. I was made redundant in Sep 2020 but I managed to secure a new job in Oct. HMRC have my tax code as BR X but my new employer has 1250L.  I spoke to an accountant and he stated I shouldn't contact HMRC as it will sort itself out. Is this correct as the letter states if I have different tax code on my payslip I should contact them? 

Dazed_and_C0nfused

By letter do you mean a new tax code or something else?

It likely will sort itself out but if you want to understand it and check if it's correct you need to let us have some more detail.

cheemsta

Sorry yes the letter states BR X tax code but my employers have 1250L. The letter also states if this is not correct then contact them. So not sure what to do tbh. The accountant seems to think I've used up my personal allowance £12,500 already this year. 

Dazed_and_C0nfused

Highly unlikely you will have used up all your Personal Allowance yet.

It sounds like HMRC weren't aware you had stopped work at your original job.

You could contact HMRC to ensure everything is up to date.

p00hsticks

cheemsta said:

Sorry yes the letter states BR X tax code but my employers have 1250L. The letter also states if this is not correct then contact them. So not sure what to do tbh. The accountant seems to think I've used up my personal allowance £12,500 already this year. 

Is the HMRC letter saying that they intend to change your tax code to BR X to collect the underpaid tax or that they think it already is ?

If the former then HMRC will also be letting your emplyer know and you should see the amended tax code being applied on your next (or next but one, depending on when the payroll is run)  payslip.

cheemsta

cheemsta

Based on my understanding from this letter it seems they are changing my tax code to collect £192. But it states if the BR X is wrong and not showing on my payslip then I need to inform HMRC. 

cheemsta

p00hsticks said:

cheemsta said:

Sorry yes the letter states BR X tax code but my employers have 1250L. The letter also states if this is not correct then contact them. So not sure what to do tbh. The accountant seems to think I've used up my personal allowance £12,500 already this year. 

Is the HMRC letter saying that they intend to change your tax code to BR X to collect the underpaid tax or that they think it already is ?

If the former then HMRC will also be letting your emplyer know and you should see the amended tax code being applied on your next (or next but one, depending on when the payroll is run)  payslip.

Yeah I think they're changing it to collect more tax but I can't understand how I've used my personal allowance. 

Dazed_and_C0nfused

That will be allocated against your original job.

I think you need to contact HMRC and explain you only have the one (new) job now and they can allocate a more accurate tax code to the new job.

General_Grant

cheemsta said:

Based on my understanding from this letter it seems they are changing my tax code to collect £192. But it states if the BR X is wrong and not showing on my payslip then I need to inform HMRC. 

cheemsta said:

Hi, 
Today I received a letter from HMRC advising I owe £193 tax by Apr 2021. I was made redundant in Sep 2020 but I managed to secure a new job in Oct. HMRC have my tax code as BR X but my new employer has 1250L.  I spoke to an accountant and he stated I shouldn't contact HMRC as it will sort itself out. Is this correct as the letter states if I have different tax code on my payslip I should contact them? 

The Your original post suggested that you expected the payslips you had received should have had the BR X code but didn't.  My understanding of the letter you received is that it is future payslips which should reflect the new code.
That letter also shows they are aware that your previous employment has Now Ended.