balancing payment? 14 December 2022 at 11:46PM in Cutting tax 6 replies 130 views

stillEuropean

I've been told by HMRC that I owe them 1330. at the end of January as a balancing payment. I don't understand this as my total income (self employed and pension) was less than the personal allowance of £12500. How is it possible I could owe them so much? - they haven't changed anything that I can see on my return.

Dazed_and_C0nfused

You need to supply the details from the return for anyone to be able to help.

stillEuropean

OK. Here's the details:

Date	Description	Amount	Summary
31 Jan 2021	1st payment on account due for year 20/21	701.00
	Adjustment from SA return 25 AUG 21	694.50 CR
	Amount due after any adjustment etc	6.50
	From payment £1409.00 made 14 DEC 20	6.50 CR
	Balance		0.00
31 Jul 2021	2nd payment on account due for year 20/21	701.00
	Adjustment from SA return 25 AUG 21	694.50 CR
	Amount due after any adjustment etc	6.50
	From payment £1409.00 made 14 DEC 20	5.03 CR
	From payment £695.97 made 04 JUN 21	1.47 CR
	Total credits	6.50 CR
	Balance		0.00
31 Jan 2022	Balancing payment due for year 20/21	0.00
	Balance		0.00
25 Aug 2021	Repayment Issued on 30 AUG 21	1392.33
	From payment £1409.00 made 14 DEC 20	694.50 CR
	From payment £695.97 made 04 JUN 21	694.50 CR
	Net supplement at 17 NOV 22	3.33 CR
	Total credits	1392.33 CR
	Balance		0.00
Balance as at 17 Nov 2022			0.00
Becoming due
31 Jan 2023	Balancing payment due for year 21/22	1343.75
	From payment £13.00 made 01 SEP 21	13.00 CR
	Balance		1330.75
Amount to pay			1330.75

Dazed_and_C0nfused

stillEuropean said:

OK. Here's the details:

Date	Description	Amount	Summary
31 Jan 2021	1st payment on account due for year 20/21	701.00
	Adjustment from SA return 25 AUG 21	694.50 CR
	Amount due after any adjustment etc	6.50
	From payment £1409.00 made 14 DEC 20	6.50 CR
	Balance		0.00
31 Jul 2021	2nd payment on account due for year 20/21	701.00
	Adjustment from SA return 25 AUG 21	694.50 CR
	Amount due after any adjustment etc	6.50
	From payment £1409.00 made 14 DEC 20	5.03 CR
	From payment £695.97 made 04 JUN 21	1.47 CR
	Total credits	6.50 CR
	Balance		0.00
31 Jan 2022	Balancing payment due for year 20/21	0.00
	Balance		0.00
25 Aug 2021	Repayment Issued on 30 AUG 21	1392.33
	From payment £1409.00 made 14 DEC 20	694.50 CR
	From payment £695.97 made 04 JUN 21	694.50 CR
	Net supplement at 17 NOV 22	3.33 CR
	Total credits	1392.33 CR
	Balance		0.00
Balance as at 17 Nov 2022			0.00
Becoming due
31 Jan 2023	Balancing payment due for year 21/22	1343.75
	From payment £13.00 made 01 SEP 21	13.00 CR
	Balance		1330.75
Amount to pay			1330.75

That's simply telling us what you already said, it's the information from your tax return which shows how the £1343.75 has been calculated that is needed.

Or post details of the tax calculation as a start.

purdyoaten2

By way of a complete guess - Possibly not entering tax already deducted from pension (occupational) ? 

stillEuropean

OK. These are the only three lines from my tax return that have figures. The others are 0. or not reported.

76. Total taxable profits from this business (box 73 minus box 74 + box 75 - or use the Working Sheet on page SEFN 18):

£ 12243.00

1. Total tax, Student Loan repayment and Class 4 NICs due before any payments on account:                                                                                                                                                                                                         £ 1402.00

9. Amount of outstanding debt included in your tax code for 2019-20

£ 699.03

purdyoaten2

stillEuropean said:

OK. These are the only three lines from my tax return that have figures. The others are 0. or not reported.

76. Total taxable profits from this business (box 73 minus box 74 + box 75 - or use the Working Sheet on page SEFN 18):

£ 12243.00

1. Total tax, Student Loan repayment and Class 4 NICs due before any payments on account:                                                                                                                                                                                                         £ 1402.00

9. Amount of outstanding debt included in your tax code for 2019-20

£ 699.03

This appears to relate to a different tax year as 2019/20 appears at the end. If it isn’t - where is the figure for your pension that you mentioned?