SMP, redundancy and tax
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cerion76
Posts: 7 Forumite
Hello,
I tried contacting the HMRC first but they are really unhelpful. You call their helpline and they can't access your details so they won't help you and they refuse to answer emailed requests through their sites saying ring their helpline - aargh.
Anyway, I will be made redundant on 31 December but I am probably going on Maternity Leave on 1 November. I have been told that I will receive 39 weeks of SMP in my final 'paypacket' (along with my miniscule redundancy). I have also been told that thi money will be taxed.
My question is can I defer the tax and NI for payments that should have been given me in the next financial year? My reason is is that I won't have a job next year so probably would be under the threshold for paying tax but if it comes out of this year's I will be paying the 20% + NI contributions.
Can anyone help?
Thanks.
I tried contacting the HMRC first but they are really unhelpful. You call their helpline and they can't access your details so they won't help you and they refuse to answer emailed requests through their sites saying ring their helpline - aargh.
Anyway, I will be made redundant on 31 December but I am probably going on Maternity Leave on 1 November. I have been told that I will receive 39 weeks of SMP in my final 'paypacket' (along with my miniscule redundancy). I have also been told that thi money will be taxed.
My question is can I defer the tax and NI for payments that should have been given me in the next financial year? My reason is is that I won't have a job next year so probably would be under the threshold for paying tax but if it comes out of this year's I will be paying the 20% + NI contributions.
Can anyone help?
Thanks.
0
Comments
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Hello,
I tried contacting the HMRC first but they are really unhelpful. You call their helpline and they can't access your details so they won't help you and they refuse to answer emailed requests through their sites saying ring their helpline - aargh.
Anyway, I will be made redundant on 31 December but I am probably going on Maternity Leave on 1 November. I have been told that I will receive 39 weeks of SMP in my final 'paypacket' (along with my miniscule redundancy). I have also been told that thi money will be taxed.
My question is can I defer the tax and NI for payments that should have been given me in the next financial year? My reason is is that I won't have a job next year so probably would be under the threshold for paying tax but if it comes out of this year's I will be paying the 20% + NI contributions.
Can anyone help?
Thanks.
I was made redundant 3 years ago with a 6 month Payment In Lieu Of which was not taxed - so I should imagine that your last 26 weeks will be tax free - and you will be taxed on 13 weeks worth
Petty isn't it ?0 -
I was made redundant 3 years ago with a 6 month Payment In Lieu Of which was not taxed - so I should imagine that your last 26 weeks will be tax free - and you will be taxed on 13 weeks worth
Petty isn't it ?
Pay in Leiu of notice and SMP are taxable. Well actually there are exeptions to pilon depending if it's contractual or not.
OP if you receive this pay in this current tax year it will be taxed this year you cannot defer it. You should be able to get a rebate April 13 to benefit from your free pay M10 to M12.0 -
Thank you everyone, I really appreciate the help.0
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