Another Tax Question

benjo · 26 Feb 2013 at 18:01

Hope this question is straight forward.

I've just started a new job, and I've just had my second months payslip. I've paid tax both times.

My previous job was part time whilst I was at Uni, and according to my P45, I only earned £3784 for this tax year. Am I right in thinking I shouldn't be paying tax on my new job until I hit the tax allowance of £8105?

Thanks

benjo · 26 Feb 2013 at 18:15

Is that an automated thing, or do I request it?

benjo · 26 Feb 2013 at 18:46

Biohazard said:
It will be automatic, what you've overpaid now will mean you pay less in future months or get a rebate.

I see, so at the start of the next tax year I might not be paying tax for the first couple of months until I've made up what I was owed from the previous year?

benjo · 26 Feb 2013 at 21:15

Thanks guys.

chippie said:
Did you give your P45 to your new employer?

I did, but it was a bit late. Took a few weeks to get it off my old employer.

benjo · 26 Feb 2013 at 21:43

-westy- said:
you don't start paying tax after you've earned the allowance, you just pay it over the year - so if you're earning 20k, then you'll only pay tax (for this tax year at least...) on £11, 895.

I understand this now.

So it's normal that I'm paying tax now as I'm earning over the £8105/12 allowance, but by the end of the tax year I'd have still earned less than the allowance for the year. So I'll be owed? Or am I still getting it wrong?

benjo · 26 Feb 2013 at 23:51

-westy- said:
If that's the case, then HMRC will either rebate you via your pay, or send you a cheque. You may need to contact them to arrange this though, it'll get it done sooner. What is the tax code on your payslip currently?

My tax code is 810L M1, which after a quick google is apparently an emergency tax code. Although I'm not sure why I'm on this tax code because I gave my new employer my P45 about 6-7 weeks ago.

benjo · 27 Feb 2013 at 00:13

Cheers mate, I'll have a chat tomorrow