Tax - TSR guide and questions thread - Page 53

Scroll to see replies

So I am 16 and I have a saturday job but this month I have worked a few extra days so I will be getting roughly £750 at the end of the month. I normally only earn about £300 because I work on one day each weekend. Will I be taxed this month because of the extra earnings and if so how much will be deducted(bearing in mind I am only 16)?
Thanks.

You're unlikely to pay any Income Tax, provided that your tax code is correct. Assuming that this takes your total income since 6 April 2011 to £1,650, which is below four months' worth (April to July) of the standard annual personal allowance of £7,475. Regardless, if your income is less than your personal allowance over the course of the full tax year, you should be able to reclaim any Income Tax that you do pay.

You're likely to have a small amount (a few pounds) of National Insurance Contributions deducted, and you're unlikely to be able to reclaim these based on your overall level of income for the year.

Reply 1041

Illusionary

Original post by bob247

Not a British citizen so relying on a scholarship from my government to get me through uni + a little extra from parents. Want to study in the U.K so was just wondering if I will get charged income tax on the money I get from scholarship + parents?

No, scholarship income wouldn't usually be subject to Income Tax.

http://www.nus.org.uk/en/Advice/Money-and-Funding/Info-and-Advice/Students-Income-Tax-and-National-Insurance/

Reply 1042

venenecinema

Original post by Illusionary

Thanks, I earned just under this a few months ago and had to pay NI contributions but I was unsure if I would have to pay any income tax. Hopefully not.
Thanks again for the answer and for moving the thread to the correct place (I assume that it was you).

Reply 1043

bob247

Original post by Illusionary

No, scholarship income wouldn't usually be subject to Income Tax.

http://www.nus.org.uk/en/Advice/Money-and-Funding/Info-and-Advice/Students-Income-Tax-and-National-Insurance/

Cheers

Reply 1044

firestar101

Hi,

I am currently doing 2 part-time jobs, but I get a lot of income tax taken out of my pay every month.

I keep all my pay slips from both jobs.

I just wanted to ask how I can reclaim back income tax. Do I have to send my payslips and is it to hm revenue and customs?

Also, I am a student, so I am sure that I am entitled to reclaim back that tax.

Thanks. Would appreciate any help.

Anyone.

I sent a letter to my local tax office about this earlier this year, before april - I was told I would have to send them my end of year P60s in order to claim it back (I have paid so much when I shouldn't have, it's just daft, because I was on an emergency tax code, whereas now I am on the correct tax codes). As I now have mine (I didn't at the time when I sent it off), I can do so. I wouldn't send your originals though just in case they get lost - I would imagine sending photocopies would be fine.

Also, from the HM Revenue site:

"How to reclaim PAYE overpayments - 2009-10 and earlier tax years

Write to HMRC and include any relevant documents about your earnings during the tax year for which you're claiming, such as:

* P60, P45
* information about your employment and benefit history

They will look into your query, work out how much they owe you and send you a refund in the post.

In most cases you’ll get back the tax you’ve overpaid as long as you claim on time."

I'll be sending my stuff off soon so, if you have any other questions, feel free to ask me.

(edited 12 years ago)

Reply 1047

Derfel

Being a student doesn't entitle you to reclaim your income tax or anything, if you earn over the allowance for this year, which is £6,475 for this year. Check out this site which will have more information how to claim your income tax back.

Reply 1048

Illusionary

Original post by firestar101

First thing - check your tax codes. If they're both "BR" then you're not being given the benefit of the 'personal allowance' of income that you can earn without paying any Income Tax. I'd usually expect one to be "747L" and the other to be "BR" - this allocates all of your personal allowance to one job, and taxes all income from the other at the basic rate of 20%.

However, you can ask your tax office to change this allocation, which I'd suggest wcould be beneficial - just get in touch with them and ask them to arrange this. You'll want to estimate your total annual income from each job as a basis for the amount of income to allocate to each job. Take a look at my guide in the wiki (linked to in this thread's first post) for more details. Also, you'd want to get in touch with HMRC anyway if your tax codes are incorrect and ask them to correct this.

Otherwise, if your tax codes are correct then you should wait until the end of the tax year (5 April each year), then write to your tax office with evidence of your income - the best form of this being forms P45 and/or P60 from your employers - and request a refund. If you leave employment during the year and don't intend to start again before the end of the year, you can complete a form P50 to request a refund earlier. Again, see my wiki guide for details.

Original post by Derfel

Correct on that being a student doesn't in itself entitle you to reclaim Income tax, but the personal allowance for 2011/12 is now £7,475. :smile:

Reply 1049

username94219

Started a temp. job a few weeks ago. Agency who I got the job through put me on emergency tax! I have a p/t job @ a supermarket, 6hours a week (yes I know pretty pointless!), which gives me an income of approx £155 a month.Because I have 2 jobs the tax codes are being swapped round! Is this right? . . .:/ The temp. job is only temp. so will then have to swap the codes round again once its done. :facepalm:

Reply 1050

Illusionary

Original post by DancinBallerina

You can get in touch with your tax office and ask them to allocate your personal allowance between the two jobs in any proportion that you like. :smile:

http://www.thestudentroom.co.uk/wiki/Income_Tax_and_National_Insurance#Common_Problems_and_Scenarios

Reply 1051

username94219

Original post by Illusionary

You can get in touch with your tax office and ask them to allocate your personal allowance between the two jobs in any proportion that you like. :smile:

http://www.thestudentroom.co.uk/wiki/Income_Tax_and_National_Insurance#Common_Problems_and_Scenarios

I did, and they told me it's either 1 or the other! :/

Reply 1052

Illusionary

Original post by DancinBallerina

I did, and they told me it's either 1 or the other! :/

Well, quite simply they're wrong - you can point them directly to their own website. Ask to speak to someone more senior if necessary.

Here: http://www.hmrc.gov.uk/incometax/check-multiple-codes.htm#3
and here: http://www.hmrc.gov.uk/students/two_pt_jobs_pa_on_both_9_3.htm

Reply 1053

username94219

Original post by Illusionary

2nd link no longer applied to me, as I am no longer a student!

I am so confused with this whole thing, it's unreal. All account of the stupid agency I got the 2nd job with (which is temp). I shouldn't be paying tax on ANY of the jobs as I do not fulfil my tax allowance, which is £7k a year! But even my lil supermarket chummy change they are now going to tax; emergency tax because as I said previously, they are going to swap them round!!! I swear the tax office have got it wrong? . . Or have I? ... :dontknow:

(edited 12 years ago)

Reply 1054

Illusionary

Original post by DancinBallerina

Fair enough, but it still shows that the allowance can be split - so try your tax office again. :smile:

Worst case, if you can't get this sorted out now you can claim a refund of any overpayment, either at the end of the tax year (5 April), or when you leave all employment and don't expect to work again in the year.

Reply 1055

Derfel

Just wondering but for a salary of £12,000 a year, how much should I be paying in tax and NI?

My pay-checks all show £200 for tax and £47.76 for NI leaving me with £750 after, however every single website I have used to calculate my tax and final pay is giving me values of £850, which is the correct one? My Tax Code is 0T.

Thanks in advance

Reply 1056

fudgesundae

putting it through here it says £752.43 every month to take home

Tax due: £199.85
NI: £47.72

http://listentotaxman.com/index.php

Original post by Derfel

(edited 12 years ago)

Reply 1057

Gallant92

Apparently some people get paid every 4 weeks, and others get paid monthly. How often do you get paid?

Reply 1058

Derfel

Monthly myself, however when I put it through the websites below, always comes out to about £850.

http://www.i-resign.com/uk/financialcentre/tax_calculator.asp
http://www.thesalarycalculator.co.uk/salary.php
http://www.worksmart.org.uk/tools/tax_calc.php

Reply 1059

fudgesundae

Original post by Derfel

use the website i used above.

edit: I think those websites are calculating the tax you would have paid in 2010, they are out of date. One of them is for 08/09