self assessment newbie - underpaid tax section

TeacakeTylor

hi. I've been told to complete a SA for the first time, for 24/25.

I'm employed and only have bank interest to complete I've completed ok.

But I'm confused on the underpaid tax included in PAYE coding section towards the end. It says enter the amount of estimated tax for Apr 24-Apr25 to be included in your PAYE code for 25-26. Enter 0 if you do not have any underpaid tax for the tax year. Look at 24-25 tax coding, if it includes message 'our estimate of the underpayment for the earlier part of the year is £x, then put this amount in the box'

Sounds straight forward. But I can't get it to reflect the actual position.

My last coding notice for that year was Dec24 and said 'due to an adjustment we think you will owe HMRC £650. So sounds like I put that??

But I know it wasn't collected in 25-26. In that year my code was reduced a lot to collect £1000+ from underestimated bank interest from 23-24. As it says 'estimated amount to be included in your 25-26 code' do I put that estimated £650 amount, knowing it then wasn't included in 25-26 code?

I have worked out I think I actually owe them £750, that 650 estimate was actually 750 by the end of the tax year. If I put £650 it seems to then take that amount off my 24-25 calc, seemingly assuming it is going to be collected in 25-26, and calcs I only owe them about £100. But i know it wasn't collected in 25-26. if I put 0 it does calc that I owe them £750, which I do think is the amount i owe.

But if I do put 0 that is then inconsistent as when I fill one in for 25-26 and have ' due to an in year adjustment we think you will owe £570.' on my last 25-26 code dated Nov 25 if I submit that now I can't predict if they will change my tax code later this 26-27 year to collect it or not. I migth get an updated code later this year, I might not, I don't know. Even if I leave it until 31 Jan they could still change my code in March.

But for 24-25 I know they didn't.

So I'm rather confused. Any help would be appreciate. For 24-25 do I put the estimated amount of 650, or 0?

Markdavid1962

Two suggestions 1) logon to Government Gateway and check any messages from HMRC plus any coding notices 2) I would give them a call and go through it on the phone

Dazed_and_C0nfused

https://forums.moneysavingexpert.com/discussion/6667511/self-assessment-newbie-underpaid-tax-section

You are probably making this more complicated than it really is.

There are two underpayment questions.

One is about tax owed from a previous year which was included in the tax code of the tax year the tax return relates to.

The second is about tax owed for the tax year the tax return relates to which was included in the tax year of the next tax year.

The first isn't unusual but the second is quite rare as HMRC try to collect the tax within each year now, when an underpayment is identified during the year.

You really need to say what the precise wording was in respect of this. It is likely that it's totally irrelevant to your tax return.

My last coding notice for that year was Dec24 and said 'due to an adjustment we think you will owe HMRC £650. So sounds like I put that??