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HMRC Self assessment 2021

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  • tommy2009
    tommy2009 Posts: 10 Forumite
    Part of the Furniture First Post Combo Breaker
    Hi all. Need a little help with my SA and damned if I can get through to HMRC on the phone.

    Salary (as stated by the company) : 50,330.00
    P60 Tax year to 5 April 2021:
    - Total for the year: 45024.15
    - Tax deducted: 6502.80

    On the SA there is a question: 

    "Was your individual income (all wages and benefits) over £50000?"

    My salary is over 50k but that's not what it says on the P60. (I have no other income). So do I answer Yes or No?

    I'm completing an SA due to potential Child Benefit refunds. There is a question further in the form

    Pay from COMPANY - total from your P45 or P60.
    Enter the amount before tax taken off: 45024.15
    UK tax taken off COMPANY pay: (optional): 6502.80

    It says it's optional but results in over a 1k tax bill :-/ 
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    Eighth Anniversary 1,000 Posts Photogenic Name Dropper
    edited 24 April 2021 at 2:19PM
    Your taxable salary is entered, not your gross I.e. what’s on your P60. If you enter 50330 you will have a child benefit charge.

    It is only optional if you have no salary or no tax deducted.!!!

    On those figures you have underpaid £2.00!
  • tommy2009
    tommy2009 Posts: 10 Forumite
    Part of the Furniture First Post Combo Breaker
    Hi. Thanks.

    On the SA, question:
    Pay from COMPANY - total from your P45 or P60. Enter the amount before tax taken off: (optional), what do I put? My salary isn't on there, only 45024.15? And do I put the 6502.80 in the UK tax taken off COMPANY pay? 


    If I do that, then the total to pay is £1.80
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    Eighth Anniversary 1,000 Posts Photogenic Name Dropper
    edited 24 April 2021 at 2:34PM
    tommy2009 said:
    Hi. Thanks.

    On the SA, question:
    Pay from COMPANY - total from your P45 or P60. Enter the amount before tax taken off: (optional), what do I put? My salary isn't on there, only 45024.15? And do I put the 6502.80 in the UK tax taken off COMPANY pay? 


    If I do that, then the total to pay is £1.80
    What is the amount on the P60? It does not ask for your salary - it specifically requests your P60 details.

    Enter 45024 for salary and 6503 for tax deducted- no other possibility.
  • tommy2009
    tommy2009 Posts: 10 Forumite
    Part of the Furniture First Post Combo Breaker
    Thought I could edit a post, sorry.

    If I enter: 50330 for total, and no tax amount, my bill is:
    Total amount due for 2020-21 £7,686.00 !!!

    If i enter 50330 for total and 6502.80 for tax, my bill is:
    Total amount due for 2020-21 £1,183.00

    Both of which are surely wrong. The child benefit tax calculator reckons £55.00.
  • tommy2009
    tommy2009 Posts: 10 Forumite
    Part of the Furniture First Post Combo Breaker
    tommy2009 said:
    Hi. Thanks.

    On the SA, question:
    Pay from COMPANY - total from your P45 or P60. Enter the amount before tax taken off: (optional), what do I put? My salary isn't on there, only 45024.15? And do I put the 6502.80 in the UK tax taken off COMPANY pay? 


    If I do that, then the total to pay is £1.80
    What is the amount on the P60? It does not ask for your salary - it specifically requests your P60 details.

    Enter 45024 for salary and 6503 for tax deducted- no other possibility.

    Total for year: Pay: 45024.15, Tax: 6502.80

  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    Eighth Anniversary 1,000 Posts Photogenic Name Dropper
    edited 24 April 2021 at 2:37PM
    tommy2009 said:
    tommy2009 said:
    Hi. Thanks.

    On the SA, question:
    Pay from COMPANY - total from your P45 or P60. Enter the amount before tax taken off: (optional), what do I put? My salary isn't on there, only 45024.15? And do I put the 6502.80 in the UK tax taken off COMPANY pay? 


    If I do that, then the total to pay is £1.80
    What is the amount on the P60? It does not ask for your salary - it specifically requests your P60 details.

    Enter 45024 for salary and 6503 for tax deducted- no other possibility.

    Total for year: Pay: 45024.15, Tax: 6502.80

    Correct. Why would you enter 50330 - it’s not your P60 figure. Enter 45024 for pay AND 6503 for tax. 
  • tommy2009
    tommy2009 Posts: 10 Forumite
    Part of the Furniture First Post Combo Breaker
    Thanks. I'll obviously take a £1.80 bill. But I'm wondering why it's not either 0 or at least £55, that's what has confused me.
  • Not sure where £55 comes from. You are a basic rate taxpayer.

    your PAYE code was presumably 1250L. This gives you personal allowances of 12500. However the tax tables on PAYE deals in ‘tens’ and you end up with 12509 tax free allowances. So, £9 has not been taxed when it should have. £9 @ 20% is £1.80. This is generally ignored under what is known as the ‘tolerance’.


    It does raise awareness, though, of how self-assessment works. If you had entered 50330 it would be accepted by HMRC. You would be underpaid by £1000 or so. You would lose ALL of the child benefit. Do this for five years in a row and you lose the ability to amend. 

  • tommy2009
    tommy2009 Posts: 10 Forumite
    Part of the Furniture First Post Combo Breaker
    Correct on the tax code.
    What about this question: Was your individual income (all wages and benefits) over £50000?
    I've said yes, based on my salary, not my P60 total.

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