NT Tax Code

Doggstar

Hi Everyone,

New member but have read the forums for quite a while and learned a lot - Thanks

I have been on an NT tax code since August 2020, No one has contacted me to collect any unpaid tax yet.

Will someone contact me after discharge (end of April 2021) to ask for the money?  -  i have been using a salary calculator and old pay slips to work out how much i need to save
Thanks x

TheGardener

It would be very unusual if they don't contact you even if it's at the last minute but you are right to have set the tax aside. My understanding is that once you are automatically discharged in April, it's too late for them to collect from you - they have to instigate that process before you are AD'd. So until then, just sit tight and wait - it's not your responsibility to chase them. 

Benjamin75

I did submit BR last December. Got the NT code changed on January, by HRMC. Got a call from OR office to go through expenditure, when I had a chance to ask about the tax, council tax and how would I pay that. Was told that due to it being very close to the end of financial year, I could keep it since it would have be more expensive for them to set up a payment plan. But of course, this all depends on individual circumstances etc. 

Indiana76

We've had the same thing, discharged last June and no one has collected out tax money.  The company that was supposed to collect came to the end of their contract and it was passed to a new company. We had contacted the old company to try and pay and with covid it was done through emails so replies were slow and we never got anywhere, we have now contacted the new  company and they have no record of us, tried the old company and they have no records at all. 

TheGardener

Indiana76 said:

... we have now contacted the new  company and they have no record of us, tried the old company and they have no records at all. 

Although there is nothing stopping you from making contact - there is absolutely no obligation or responsibility on a BR to contact any collection company after you are AD. If the process has not been started prior to AD - then that should be the end of it. 
Yes, sometimes it actually costs more to administer/collect than the value of the amount to be collected and some firms don't bother. 

Indiana76

Just to update, I posted about this in the ask a step change counsellor a question thread who advised that we contact the OR, which we did,  we had a call from they this week and our payment was showing on their system even though no one had contacted us about it, the OR invoiced us directly and we paid the tax money. 
So please if you are in the same situation keep hold of your tax money, dont assume no one will come after the payment even after being discharged.

Doggstar

Small Update:
I have been discharged.

Spoke to the OR - because they had not collected the cash previously and because no IPA had been set up and nor can one be set up now
The money now belongs to me  

Still a little side shocked on this - but am keeping it safe in the bank till end of the year to see if someone asks for it

any thoughts ?

Sonic101

Hi there
In your position I would ask for something in writing to confirm  what the OR said (i.e., confirmation that you you may keep the money). That way you’ve covered your back.

Doggstar

Small Update: - OR has confirmed via email that as the tax amount was not collected and I'm not party to an IPA/IPO the money is mine. 

Honestly I'm baffled