New tax code today

Mikeyorks

DeeCee wrote: »

Forgot to say... as you were 65 on the 3 March 07

Nope .... stop adding years to him;) . 'becoming' 65 in March 08.

jem16

DeeCee wrote: »

Forgot to say... as you were 65 on the 3 March 07

I assume you mean he will be 65 on 3rd March 2008 but yes he is entitled to claim the allowance for 2007/8.

Mikeyorks

Montypython wrote: »

My state pension = 5747

I'm not good on State Pensions .... but that looks a bit above average at £110pw? Just check it on the forecast you should have from the Pensions Service. As I didn't quite follow the '£50ish for your wife'

Otherwise - from the income you've posted - your Code number for 08-09 is definitely wrong. Should start from a personal allowance base of £9030 .. not £5435.

Also - as posted by the ladies .... the fact you're 65 in 07-08, entitles you to the higher (it's not pro-rata) age related allowance of £7550 for this year (assuming you've not breached the £20900 earnings limit .. in which case it reduces as in my first post).

Bet you're pleased you posted!

System

HMRC won't know your age if they don't have your date of birth.

Normally when they have the date of birth they would send a P161 Pension enquiry form http://www.hmrc.gov.uk/forms/p161-man.pdf. That would give the taxpayer the chance to confirm their income details so that HMRC can determine how much of the age allowance they are entitled to. Without a date of birth there is nothing to indicate the taxpayer has reached 65.

Similarly if the P161 is sent out and not returned by the taxpayer then HMRC do not allocate the age allowance.

CLAPTON

curious though
if the HMRC know he's receivng State pension (and taxing him accordingly)... wouldn't they know he is not less than 65?

Mikeyorks

Pam17 wrote: »

Without a date of birth there is nothing to indicate the taxpayer has reached 65.
.

Pensions Service advise HMRC that a State Pension is in prospect.

System

2 possibilities then - either a P161 has been sent out and not returned by the OP and so HMRC can't judge how much of their age allowance they are entitled to OR

OP has returned P161 with relevant information and HMRC made error.

Montypython

Ok.
I have finally spoke to someone and they have made a mistake with my allowances and coding for 2008 - 2009, and it will be adjuted to the new figures and I will recieve a new P code shortly and that I should not have been given a K code.
He also stated that they have other people ring in with the same problem.
I remember filling in a form they sent me last November notifying me that I would be at pensionable age in march 2008, I filled it in and rang them 2 weeks later just to make sure they had got it, they had all my info so how did they come to get it wrong.
In the Pension Forecast letter I had last month it stated I was due to get £ 106.37 based on my contributions upto and including 2007, but that it would possibly increase in April 2008, possibly that has been confirmed in my coding that inland revenue estimated in my coding of basic pension £ 5747 which = £ 110.52
I am interested in what someone has posted in that because I am 65 in march this year, I should be able to claim the age related allowance of £ 7550 for this year, is that correct, and if so how would I go about that, the guy I was talking to this morning never mentioned it, but that doesn't surprise me.
Once again, thank you everybody.

Montypython

Pam17 wrote: »

HMRC won't know your age if they don't have your date of birth.

Normally when they have the date of birth they would send a P161 Pension enquiry form http://www.hmrc.gov.uk/forms/p161-man.pdf. That would give the taxpayer the chance to confirm their income details so that HMRC can determine how much of the age allowance they are entitled to. Without a date of birth there is nothing to indicate the taxpayer has reached 65.

Similarly if the P161 is sent out and not returned by the taxpayer then HMRC do not allocate the age allowance.

yeah, I got one of these through the post and I filled this in and returned it last November

Mikeyorks

Montypython wrote: »

I am interested in what someone has posted in that because I am 65 in march this year, I should be able to claim the age related allowance of £ 7550 for this year, is that correct, and if so how would I go about that

Fully correct. See confirmatory link at post #11.

Either ring them again .. or write to them 'appealing' your 07-08 Code number, because your 65th falls 3rd March. Sensible to include your total (est) income to 5.4.08 - so they can see there's no restriction to the age based increase of allowances.