Reduce Income Tax
Hopefully someone could advise me.
I received a letter from HMRC, stating:
"We estimate that you have not paid enough Income Tax so far this tax year. You currently owe
How this will be collected
We will start to collect this amount straight away.
To do this we have reduced your tax-free amount by £6,005. This means that you will pay more tax until 5 April 2024, so that we can collect the £1,725.14 owed."
I was wondering if I was to increase my pension by 2%, salary sacrifice, as this would reduce my salary by £1800 approx, would this then reduce the Income Tax that HMRC say I owe. I am a normal employee so I don't know how this has happened as my work sort out my tax each year.
I phoned HMRC and they said that this is estimated on my salary I should get this year.
thanks for any advice!
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