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What causes a change in Tax Underpayment reduction
LW7
Posts: 79 Forumite
in Cutting tax
Afternoon All.
I've just received notification that my tax code has changed.
Logging into the website it says my Underpayment from previous year has been reduced from £3,300 to £2,274.
I've not changed jobs, or had any change of circumstances.
What am I missing about how this underpayment occurred and what caused it to change by £1,026
Many thanks.
I've just received notification that my tax code has changed.
Logging into the website it says my Underpayment from previous year has been reduced from £3,300 to £2,274.
I've not changed jobs, or had any change of circumstances.
What am I missing about how this underpayment occurred and what caused it to change by £1,026
Many thanks.
Debt Free since 2020 thanks to MSEf.
0
Comments
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What tax year was the underpayment from?0
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Dazed_and_C0nfused said:What tax year was the underpayment from?
Previous Tax Code was 69L and from 20/09 it's now 171L.
Looking into the Deductions section:
Underpayment from previous year.
"You underpaid £545 tax in a previous tax year"
Previous £3,000
Current £2,274
Employee Health
Previous £124
Current £124
Company Car
Previous £8,329
Current £8,329
Total Deductions
Previous £11,878
Current £10,853
Your Total tax free amoubt
Previous £692
Current £1,717Debt Free since 2020 thanks to MSEf.0 -
If it's from an old tax year it could simply be that a later year has now been reviewed and you overpaid some tax meaning less is now owed?
You can usually see this sort of information in your Personal Tax Account on gov.uk.1
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