Abcdedfg

[Deleted User]

abcdedfghi

Dazed_and_C0nfused

What is confusing you?

Your tax code for 2023-24 is mostly irrelevant now, the Self Assessment return finalises things.

If the £2,886.80 is accepted as being coded out in 2025-26 then the POA will be cancelled as you won't be paying anything direct to HMRC.  You don't need to do anything about it, that happens automatically.

Have you tried adding 2886.80 + 1443.40 (I suspect your 1443.30 is a mistype).

You should also look at the other question relating to how you pay your tax, the one about keeping this years tax code up to date (next to the one about paying the tax due for 2023-24 via nest year's tax code). A lot of people ignore that and then moan when HMRC act on how they have filed the return.

Dazed_and_C0nfused

[Deleted User] said:

Many Thanks for the reply.

Im confused by why £528.20 has been added to my underpaid tax total. That was paid via my tax code 1135L ? in year 23/24.

Plus the total figure due of £4330.20. Why so much?

The £528.20 will have meant your employer deducted an extra £528.20 in tax. And this is reflected on your P60.  So you aren't being charged twice if that's what you think.

If you took the £528.20 out of the calculation you would have to deduct £528.20 from the tax deducted at source so your calculation wouldn't change overall.  You don't do that, it's just trying to illustrate you aren't being charged twice.

Once in Self Assessment some people have to make POA for the following tax year.  This happens when the tax owed is more than £1,000 AND less than 80% of the tax liability was collected at source (such as PAYE).

That's where the £4,330.20 comes from (2023-24 tax owed plus a first POA for 2024-25 being 50% of the tax from 2023-24).

But, if you have the £2,886.80 collected via your 2025-26 tax code you won't be paying anything direct to HMRC and the POA will be (automatically) cancelled. 

You actually need to submit the completed return for these things to happen.

Dazed_and_C0nfused

[Deleted User] said:

Dazed_and_C0nfused said:

[Deleted User] said:

Many Thanks for the reply.

Im confused by why £528.20 has been added to my underpaid tax total. That was paid via my tax code 1135L ? in year 23/24.

Plus the total figure due of £4330.20. Why so much?

The £528.20 will have meant your employer deducted an extra £528.20 in tax. And this is reflected on your P60.  So you aren't being charged twice if that's what you think.

If you took the £528.20 out of the calculation you would have to deduct £528.20 from the tax deducted at source so your calculation wouldn't change overall.  You don't do that, it's just trying to illustrate you aren't being charged twice.

So is that why my personnel allowance shows 12570 ?

£12570 - £1320 = 1135L code. So the £528 has been paid?

Your Personal Allowance would only be reduced if your adjusted net income is £100,002 or more.

Dazed_and_C0nfused

[Deleted User] said:

Many thanks,

Makes a bit more sense now.

My current tax code for 24/25 is 840L as im paying back £ 1706 HICBC for years 22/23. Does this need to go on my 23/24 SA?

The tax years are the confusing bit for me.

Note to self dont earn more than £60k this tax year 24/25. Lol

No, that would go on your 2024-25 return.

Dazed_and_C0nfused

It's for amount you don't pay, say for example you couldn't include the £2886 in your tax code as you filed the return late.

But then you didn't pay it so it was a debt owed to HMRC.  Eventually they might try and include it in your tax code as a "debt".

You would normally be well aware if that has happened.

Dazed_and_C0nfused

[Deleted User] said:

Dazed_and_C0nfused said:

It's for amount you don't pay, say for example you couldn't include the £2886 in your tax code as you filed the return late.

But then you didn't pay it so it was a debt owed to HMRC.  Eventually they might try and include it in your tax code as a "debt".

You would normally be well aware if that has happened.

Understood.

its asking if I want to reduce POA for 24/25? do i need to do this or will it automatic code out(ive tick the box for this)??

Thanks

You should only make a claim to reduce them if you know for a fact that your 2024-25 liability will be less than £2,886.

And I don't think you do know that so I wouldn't reduce them at this stage.

However, if your request to have the 2023-24 Balancing Payment included in your 2025-26 tax code is successful (if you are still earning similar money and you file the return now I can't see why it wouldn't be) then the POA will be automatically cancelled.

Being cancelled is completely different to you making a claim to reduce them.  If they are cancelled there is nothing for you to reduce.

If you wait 4-5 days after filing your return then check your Self Assessment account you should see what has happened with the tax due for 2023-24 and if the 2024-25 POA have been cancelled.