tax on a gap year?

0

Does anybody know if we have to pay tax on any earnings we make on a gap year, and also what about council tax?
Because I know that students are exempt from paying council tax, but i didn't know wether this included gap year students or not.

Cheers in advance

Reply 1

x Kelly x

11

hi scott,

You will need to pay tax on earnings, i found the HM Revenue website for you...

http://www.hmrc.gov.uk/students/if_i_take_a_gap_year_9_6.htm
hope this helps

Edit: Haha, how funny does that look, ur sig and mine :biggrin:

lol

Reply 2

Good bloke

19

scottnoplot

Does anybody know if we have to pay tax on any earnings we make on a gap year, and also what about council tax?
Because I know that students are exempt from paying council tax, but i didn't know wether this included gap year students or not.

Cheers in advance

And on the council tax front, if you are on a gap year you are not a student, so lose that exemption.

Reply 3

username43524

OP

0

Cheers guys, not the answer i was hoping for lol, but thanks for the fast replies :biggrin:

and yea it does look funny kelly lol.

Reply 4

soyunatasa

but, if you go abroad for any length of time after working some of your gap year, you can actually claim all of your tax back for the period you worked. I got about 700 quid back...

Reply 5

Norfolk_Enchance

soyunatasa

but, if you go abroad for any length of time after working some of your gap year, you can actually claim all of your tax back for the period you worked. I got about 700 quid back...

sorry to bump such an old thread, but rather tahn open a new one, i thought i'd use this.

is what this person is saying true? is it a lopphole/illegal?

Reply 6

gemini89

1

Norfolk_Enchance

sorry to bump such an old thread, but rather tahn open a new one, i thought i'd use this.

is what this person is saying true? is it a lopphole/illegal?

if you've earned under 5400 pounds April-March (or whatever the threshold is now, but it's around that) then you can apply to get any tax you've paid in that year back. I left to go to New Zealand in September 07 and before i left i filled in a form that basically said that i was leaving the UK and wouldn't be working before the next tax year. At the end of the year I got all my tax I'd paid since March 07 back, pretty sweet!

Reply 7

Coxy212

Yeah, I think I'm eligible for a tax refund but don't know how to get it. I've only paid like £200 in tax but since I'm leaving to work in the US with camp america I think I should get it back?

thanks guys

Leaving the country doesn't have anything to do with getting your tax back. The reason you get your tax back is because you in total you will have earned under the tax threshold for the year. Going abroad is simply the reason you will not reach that threshold. So yes, providing you do not meet it, you can apply for your tax back.

Reply 10

Norfolk_Enchance

FadedJade

Leaving the country doesn't have anything to do with getting your tax back. The reason you get your tax back is because you in total you will have earned under the tax threshold for the year. Going abroad is simply the reason you will not reach that threshold. So yes, providing you do not meet it, you can apply for your tax back.

I hear alot of the politicians talking about moving the threshold to 10k ( we wont tax you on your first 10k of earnings? is this true?

also say you have earned about 1k more than the current threshold, would they just tax you on the 1k or your whole earnings?

Reply 11

hollo

13

Norfolk_Enchance

I hear alot of the politicians talking about moving the threshold to 10k ( we wont tax you on your first 10k of earnings? is this true?

also say you have earned about 1k more than the current threshold, would they just tax you on the 1k or your whole earnings?

Most people get around £6740 of earnings tax free. If you check your tax code it should be a number followed by a letter. The number multiplied by ten is the amount you can earn without being taxed. Any earnings above this are taxed, so if you made 8k and you get 6k tax free then you are only taxed on the additional 2k. It's a good idea to check you have the correct tax code too, I was assigned the wrong one for this tax year but you can made sure it's right online and get it fixed easily over the phone.

The £10,000 tax free income is one of the Lib Dem's policies.

At the end of the tax year you receice a P60 detailing your income tax. If you have been overtaxed of incorrectly taxed you can claim it back through HM Revenue and Customs. This is often the case if you've been working full time or earning an amount that would take you over your tax free limit should you work the whole year but in fact only worked six months or something.

Hope that helps!

Reply 12

FadedJade

15

Yep hollo is correct :smile:

tax on a gap year?

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