£907 tax bill is saying I owe 'payments on account'

p00hsticks

user19860331 said:

Grumpy_chap said:

£900 tax on £2k is 45%.  Are you in the additional rate band?

I was thinking that might be the case, as I had some hassle with my new job and the tax code.

But I've just had a look at my PAYE account and think everything looks normal?

If your full time PAYE job is making use of all your tax allowance, and puts you in the higher rate tax bracket, then any profit you make from your freelance work wil  lbe taxed at the higher rate....

[Deleted User]

user19860331 said:

Grumpy_chap said:

£900 tax on £2k is 45%.  Are you in the additional rate band?

I was thinking that might be the case, as I had some hassle with my new job and the tax code.

But I've just had a look at my PAYE account and think everything looks normal?

Roughly - how much do you earn from your employment. We are trying to establish what rate of tax that you pay.

user67340348

[Deleted User] said:

In your case, try fiddling with the self employment figures to make the profit zero and see what the calculation says. If you still owe it will be as a result of too little tax deducted at your employment. Have you perhaps omitted employment expenses, for example?

Thanks I'll try this

user67340348

[Deleted User] said:

Roughly - how much do you earn from your employment. We are trying to establish what rate of tax that you pay.

Thank you, I earn £28K at my job.

Though I only started a few months ago, before that I was on £22K

Dazed_and_C0nfused

Are you a Scottish resident for tax purposes by any chance?

[Deleted User]

user19860331 said:

[Deleted User] said:

Roughly - how much do you earn from your employment. We are trying to establish what rate of tax that you pay.

Thank you, I earn £28K at my job.

Though I only started a few months ago, before that I was on £22K

Did you change jobs? 

user67340348

[Deleted User] said:

user19860331 said:

[Deleted User] said:

Roughly - how much do you earn from your employment. We are trying to establish what rate of tax that you pay.

Thank you, I earn £28K at my job.

Though I only started a few months ago, before that I was on £22K

Did you change jobs? 

Sorry for the late reply, yes I changed jobs around December

Dazed_and_C0nfused

user19860331 said:

purdyoaten2 said:

user19860331 said:

purdyoaten2 said:

Roughly - how much do you earn from your employment. We are trying to establish what rate of tax that you pay.

Thank you, I earn £28K at my job.

Though I only started a few months ago, before that I was on £22K

Did you change jobs? 

Sorry for the late reply, yes I changed jobs around December

It's quite common for people who had two jobs (paid) at the same time to owe tax so that coupled with the self employment is most likely why you owe more than you expected.

user67340348

Dazed_and_C0nfused said:

It's quite common for people who had two jobs (paid) at the same time to owe tax so that coupled with the self employment is most likely why you owe more than you expected.

I didn't have 2 jobs at once, I left one at the start of December and then started the other job a few days later

Dazed_and_C0nfused

user19860331 said:

Dazed_and_C0nfused said:

It's quite common for people who had two jobs (paid) at the same time to owe tax so that coupled with the self employment is most likely why you owe more than you expected.

I didn't have 2 jobs at once, I left one at the start of December and then started the other job a few days later

If you check your payslips you may well find you did have two at the same time, both paid in tax month 9.