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Tax - TSR guide and questions thread

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    (Original post by jismith1989)
    I see. But presumably people who just earned £10 every few weeks (maybe from revenue on YouTube or something similar) wouldn't need to create their own company just to accept the money (if they would, it seems like a whole of fuss), so at what point would it become necessary? When you'd become applicable to pay the basic tax rate?
    I've assumed in my post above that this scenario is using a third-party company rather than one owned by the individual using it to arrange advertising; it's worth mentioning that UK companies are themselves subject to corporation tax on their (tax-adjusted) profits. Strictly there's no de minimis below which self-employed registration isn't required - if you're self-employed, you should register (this can include loss-making businesses).
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    Well basically i used to work in McDonald's for a while but recently quit, when i first started out they gave me the wrong tax code and i was taxed up to £300 when i wasn't supposed too. Is there a way to get this back? :confused:
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    You can claim it back from HMRC at the end of this tax year. (April 5th)
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    I have a similar problem to you with being charged tax when I shouldn't have been as I do not earn enough. I was told that the best thing to do is get all your pay slips together and call the tax office or go to your local one and ask them to change your tax code and then get advice from them on what to do and how to get the money back. That's what I'm planning on doing this week. Good luck, I hope you get your money back!
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    Hello.

    I have a part time job on weekends, I work 4 hours on a Saturday and 4 on a Sunday at a retail store. I am a student who is 17 in May, and I recently got my payslip and realised I had been taxed.

    Now I'm not too sure on these rules, but people have said if you are under 18 you do not get taxed - could somebody please clarify for me.
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    Everyone pays income tax on the money they earn above the tax-free threshold. You must have a well-paid job if you're hitting that by doing 8 hours a week.
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    You can still get taxed under 18. However if you don't earn more than I think it's around 7500 a year you shouldn't be taxed.
    IIf this is your first job you will probably have been put on BR (basic rate) tax code. You should ring the tax office, and get your tax code changed. Luckily you'll be able to get this tax money back at the end of the tax year which is april. You'll need to fill in a specific form though I can't quite remember which one it is. IF you look on the HMRC and direct gov websites they will tell you more specifics.
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    People over 16 pay tax if their income is over £7475 (£8105 in April) per year. You need to check what your tax code is. You may also need to fill in a P46 form.
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    (Original post by snufkin_)
    You can still get taxed under 18. However if you don't earn more than I think it's around 7500 a year you shouldn't be taxed.
    IIf this is your first job you will probably have been put on BR (basic rate) tax code. You should ring the tax office, and get your tax code changed. Luckily you'll be able to get this tax money back at the end of the tax year which is april. You'll need to fill in a specific form though I can't quite remember which one it is. IF you look on the HMRC and direct gov websites they will tell you more specifics.
    You may be thinking of a form P50, but that's only applicable for reclaiming overpayments of income tax during the year, after leaving a job, To reclaim overpayments after the end of the tax year, a call to your tax office is the usual first step, as they may already have all of the information that they need to process a refund; if not, they should be able to let you know what further information they need.

    (Original post by OU Student)
    People over 16 pay tax if their income is over £7475 (£8105 in April) per year. You need to check what your tax code is. You may also need to fill in a P46 form.
    Mentioning the age of 16 here is a bit of a red herring; there's no age threshold at all as to who is subject to income tax. The age of 16 is relevant for National Insurance Contributions (which aren't due below this age), but not Income Tax.

    You're correct in mentioning the form P46, though. DopeSk1llz - if you've not completed one then you should do so now as this will be the reason why you're paying income tax - your employer will be obliged to assume that your personal allowance is used elsewhere if you don't, putting you on a "BR" tax code and deducting 20% Income Tax on all of your income. If you can do so now and get this processed before the end of the tax year (5 April), that would be the easiest way to get a refund of any overpaid income tax, as once your tax code is corrected (likely to "747L" until 6 April) you should receive a refund of any overpayment via the payroll system rather than having to make a separate claim.

    Here's a link to a form P46 that you can download: http://www.hmrc.gov.uk/forms/p46.pdf
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    (Original post by ALazyThracian)
    Well basically i used to work in McDonald's for a while but recently quit, when i first started out they gave me the wrong tax code and i was taxed up to £300 when i wasn't supposed too. Is there a way to get this back? :confused:
    If you're no longer working, claiming a refund should be fairly straightforward - give your tax office a call as they may already have all of the information that they need to arrange a refund; there's no need to wait until the end of the tax year.

    To avoid this happening in future, be sure to complete a form P46 (link: http://www.hmrc.gov.uk/forms/p46.pdf) for your employer when starting any new job (or hand in parts 2 and 3 of your P45 if you've had a different job already during the tax year).
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    (Original post by DopeSk1llz)
    Hello.

    I have a part time job on weekends, I work 4 hours on a Saturday and 4 on a Sunday at a retail store. I am a student who is 17 in May, and I recently got my payslip and realised I had been taxed.

    Now I'm not too sure on these rules, but people have said if you are under 18 you do not get taxed - could somebody please clarify for me.
    Hi, elaborating on this problem.

    I have found out that I have been put on emergency tax(?) 30%, or code 0T, due to me not handing in a P45 to my new employer. I was never asked to hand this in nor was I aware that I had to keep my old P45 from my old employer.

    So I do not have a P45 ready to hand in to resolve this problem, so I am wondering what I can do to resolve it and hopefully be refunded the money I have been taxed?
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    (Original post by DopeSk1llz)
    Hi, elaborating on this problem.

    I have found out that I have been put on emergency tax(?) 30%, or code 0T, due to me not handing in a P45 to my new employer. I was never asked to hand this in nor was I aware that I had to keep my old P45 from my old employer.

    So I do not have a P45 ready to hand in to resolve this problem, so I am wondering what I can do to resolve it and hopefully be refunded the money I have been taxed?
    I'd suggest a quick call to your tax office - they should be able to arrange for your tax code to be updated. If it's updated before the end of the tax year (5 April) then you should receive any relevant refund through the payroll system the next time that you're paid.

    As a side note, the form P45 is an important document and is the sort of thing that you should always keep in your records for the future, e.g., in case you need to prove your income.
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    (Original post by Illusionary)
    I'd suggest a quick call to your tax office - they should be able to arrange for your tax code to be updated. If it's updated before the end of the tax year (5 April) then you should receive any relevant refund through the payroll system the next time that you're paid.

    As a side note, the form P45 is an important document and is the sort of thing that you should always keep in your records for the future, e.g., in case you need to prove your income.
    How long do you think it would take to be updated? I have heard it can take months, in which case not only would I be losing a lot of money, but also the 5 April will have been and gone?

    And yes I realise this now haha, unfortunately nobody informed me!
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    (Original post by DopeSk1llz)
    How long do you think it would take to be updated? I have heard it can take months, in which case not only would I be losing a lot of money, but also the 5 April will have been and gone?

    And yes I realise this now haha, unfortunately nobody informed me!
    That really depends on the efficiency of your tax office and your employer's payroll department. Possibly a week or two, but it could well be longer.

    If you go beyond the end of the tax year you can still request a refund from HMRC - it just wouldn't come via the payroll system, but as a separate repayment.
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    Ok just to get this clear.
    I have to wait for the end of the year before I claim back tax... And can I do this by telephone?
    Is there also a way to change my tax code before this date or do I have to wait until April 5th?
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    (Original post by Saliency)
    Ok just to get this clear.
    I have to wait for the end of the year before I claim back tax...
    No, not usually. I assume that you're still employed, in which case the overpayment is due to an incorrect tax code, once your tax code is updated you should receive a refund automatically via the payroll system and before the end of the year.
    And can I do this by telephone?
    Often yes - certainly a call to your tax office is a good way to start. They should be able to notify your employer of a new tax code to use.
    Is there also a way to change my tax code before this date or do I have to wait until April 5th?
    As above.
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    Hey was wondering if you could help. Currently a student, been working in various part time jobs since last June. During late summer I was given an emergency tax code and therefore taxed on my earnings. I have been trying to claim that tax back but since I'm now employed at uni they say I can't be repaid. Over the year I have made about 3 grand- no where near the threshold. Should I just wait till the end of the tax year, ask for a p60 from HMRC and get the tax back then? Even thought i'll still be employed?

    For reference; I am technically not employed by that company any more (I was on their books for a few months but not getting shifts) but I have not yet recieved a p45.
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    (Original post by stargirl2012)
    Hey was wondering if you could help. Currently a student, been working in various part time jobs since last June. During late summer I was given an emergency tax code and therefore taxed on my earnings. I have been trying to claim that tax back but since I'm now employed at uni they say I can't be repaid. Over the year I have made about 3 grand- no where near the threshold. Should I just wait till the end of the tax year, ask for a p60 from HMRC and get the tax back then? Even thought i'll still be employed?

    For reference; I am technically not employed by that company any more (I was on their books for a few months but not getting shifts) but I have not yet recieved a p45.
    Contact your previous employer and insist on receiving a form P45 - it's an important document that you should retain. A form P60 comes from your employer if you're employed at the end of the tax year (5 April), not from HMRC, but if you didn't pass a previous form P45 to your employer when starting with them then I wouldn't expect them to be able to include details of tax paid from a previous employment on the form.

    For now, I'd suggest that you contact your tax office and explain the situation - they may already have all of the details that they need to process a repayment come the end of the year. Each tax year is treated separately, so once you reach the end of the year it's not a problem that you're continuing in employment.
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    (Original post by Illusionary)
    Contact your previous employer and insist on receiving a form P45 - it's an important document that you should retain. A form P60 comes from your employer if you're employed at the end of the tax year (5 April), not from HMRC, but if you didn't pass a previous form P45 to your employer when starting with them then I wouldn't expect them to be able to include details of tax paid from a previous employment on the form.

    For now, I'd suggest that you contact your tax office and explain the situation - they may already have all of the details that they need to process a repayment come the end of the year. Each tax year is treated separately, so once you reach the end of the year it's not a problem that you're continuing in employment.
    I did contact them however a slight issue is that they've currently sent it to my uni address and I'm leaving tomorrow for 5 weeks so won't actually have acess to it. I think I'll ring them a few days before the end of the tax year, thanks!
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    In feb I worked 3 hours for three days in a single week, with a two hour training session in total for my university. I was paid on the 29th of march but my wage slip shows a £18.20 deduction for PAYE. So the £90 has become £73, which I am fine with (used to earn £3.52 an hour as a 17 year old) but checking the direct gov website it says "For the tax year 2011-12, you begin making National Insurance contributions when you earn above £139 a week (the earnings threshold)." With there also being a £7,475 allowance.

    Have I been taxed when I don't have to be?

    The link I used is below:

    http://www.direct.gov.uk/en/Educatio...ge/DG_10035694

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