Correct Tax Code?

skellington

After seeing Martin's email this morning, I checked my Tax Code.

I live in UK as self employed and have been for the past 20 odd years.

When I checked my Tax Code, it says : ''Based on ONLY the salary you’ve input, your personal allowance will be £12,570''
This sounds correct I guess...

But I also get '' The letter S in your tax code...The letter S signifies that you live in Scotland and that your income or pension is taxed using the Scottish income tax rates.''

I have never lived in Scotland?

I wanted to check here first if this means I'll either need to change the tax code with HMRC, due a rebate, (or owe more tax!) and what if anything, this means?
Before contacting HMRC

Thanks for any help

Dazed_and_C0nfused

Tax codes are for people who have a source of income taxed under PAYE.

For example a pension (not the state pension) or employment.

If you are purely self employed why do you think you need a tax code?

p00hsticks

Dazed_and_C0nfused said:

Tax codes are for people who have a source of income taxed under PAYE.

For example a pension (not the state pension) or employment.

If you are purely self employed why do you think you need a tax code?

However, regardless of the need for a tax code per se,  the amount of tax that the person pays may vary depending on whether they live in England, Scotland or Wales, so it is worth following up on why HMRC believi that the person falls under Scottish tax rules

menz456

I just checked my tax code. I had forgotten to do my tax return. I was self employed so had to do them. It said I had been on the wrong tax code and I'm due over £3k. I checked my tax amount each month and that seems right. The government website said it was it over £300 a month too high. I'm really happy. Thanks!

skellington

menz456 said:

I just checked my tax code. I had forgotten to do my tax return. I was self employed so had to do them. It said I had been on the wrong tax code and I'm due over £3k. I checked my tax amount each month and that seems right. The government website said it was it over £300 a month too high. I'm really happy. Thanks!

How did you check it? was it on the HMRC site and can you see what you are owed or need to pay if its wrong?

menz456

So  I did my tax return and it said I was owed 3k. My tax code given to me was 417T. On the Moneysaving link it says I should be 1257L, giving me 12k tax free. I did a how much tax should I pay each month and it was £300 a month more than this code should be. Unless you have another reason everyone is 1257L so check what your current code. 

skellington

menz456 said:

So  I did my tax return and it said I was owed 3k. My tax code given to me was 417T. On the Moneysaving link it says I should be 1257L, giving me 12k tax free. I did a how much tax should I pay each month and it was £300 a month more than this code should be. Unless you have another reason everyone is 1257L so check what your current code. 

I'm self employed in the UK and have a code of SA302?

menz456

I don't think SA302 is your tax code. 

This is a tax calculation for self employed people.
SA302 is a statement given by HMRC that provides evidence of your earnings. It is, in every practical sense, HMRC's presentation of an individual's Income Tax calculation for that given tax year. You will be issued it following the submission of your Self Assessment tax return.

unholyangel

menz456 said:

So  I did my tax return and it said I was owed 3k. My tax code given to me was 417T. On the Moneysaving link it says I should be 1257L, giving me 12k tax free. I did a how much tax should I pay each month and it was £300 a month more than this code should be. Unless you have another reason everyone is 1257L so check what your current code. 

417T isn't a Scottish tax code.

Did you establish why your code was 417T?

Because if not you could end up owing hmrc the money back, plus interest and possibly penalties for submitting an incorrect return. 

[Deleted User]

menz456 said:

So  I did my tax return and it said I was owed 3k. My tax code given to me was 417T. On the Moneysaving link it says I should be 1257L, giving me 12k tax free. I did a how much tax should I pay each month and it was £300 a month more than this code should be. Unless you have another reason everyone is 1257L so check what your current code. 

Can you outline your employment situation since April 2019 to include any periods of self-employment and employment under PAYE?

[Deleted User]

menz456 said:

So  I did my tax return and it said I was owed 3k. My tax code given to me was 417T.

have you a complicated income?

Look HERE at T.