Tax codes... Confused

ChrisD. · 7 Feb 2011 at 19:38

jamief said:
If you haven't already got an accountant - www.sjdaccountancy.com

Thanks, but I'll go with a firm that's recommended to me by someone doing the line of work that I'll be going into. It's a long way off anyway, 16 months or so, so plenty of time.

Freefaller · 7 Feb 2011 at 19:44

Wossi said:
It went from 640L to 230L to K452 in a month. Going to have a word with the FD at work tomorrow to see what we can do about it.

Fortunately I spotted it quickly so it's only 10 months worth, I should be able to recover the tax underpayment by 230L alone. Hits my monthly pay a fair bit though!

MilanoChris said:
Cheers, I'll be doing IT Contracting so will be under my own company and I'll be paying an accountant to sort that side of life out, so hopefully won't have to worry once I get to grips with it all.

I wish you all the best and hope it works out! Good on you for getting yourself sorted with your own company! I always have a lot of respect for that.

[TW]Fox · 7 Feb 2011 at 19:50

Castiel said:
You tax code will revert back to 647L when the overpayment (it will be in the next tax year) is repaid to you.

No it wont! The personal allowance changes for the next tax year.

iviv · 7 Feb 2011 at 19:56

I recieved my tax code letter as well. Actually, I had two in one envelope. One telling me I was currently unemployed, and that my tax code was one value, and one telling me I was working for Tesco, and that my tax code was a completely different value.

Castiel · 7 Feb 2011 at 20:14

[TW]Fox;18414730 said:
No it wont! The personal allowance changes for the next tax year.

That is what I said.... :confused:

[TW]Fox · 7 Feb 2011 at 20:21

Castiel said:
That is what I said....

No its not.

You tax code will revert back to 647L

His tax code wont go back to 647L next tax year!

Castiel · 7 Feb 2011 at 20:25

[TW]Fox;18415056 said:
No its not.

His tax code wont go back to 647L next tax year!

Erm.......

Castiel said:
Agnes

You tax code will revert back to 647L when the overpayment (it will be in the next tax year) is repaid to you.

Yes it will, the 738L comes into force in April and the 647L will come into force in the following (or next) tax year......

[TW]Fox · 7 Feb 2011 at 20:29

Why will it? 647L refers to the current personal allowance which is PERMANENTLY increasing to £7475. Therefore he wont go back onto 647L ever again, as that wont be the personal allowance. He'll go onto a 747L code surely?

Kemik · 7 Feb 2011 at 20:31

[TW]Fox;18415133 said:
Why will it? 647L refers to the current personal allowance which is PERMANENTLY increasing to £7475. Therefore he wont go back onto 647L ever again, as that wont be the personal allowance. He'll go onto a 747L code surely?

Correct-o

(subject to the Government increasing/decreasing in future Finance Acts and assuming he owes no tax with no benefits)

Castiel · 7 Feb 2011 at 20:36

[TW]Fox;18415133 said:
Why will it? 647L refers to the current personal allowance which is PERMANENTLY increasing to £7475. Therefore he wont go back onto 647L ever again, as that wont be the personal allowance. He'll go onto a 747L code surely?

Pedantico or what, It will revert to the single persons normal allowance for that year then....

Jezz, don't be such an arse, just say the new personal allowance changes then. (which is cool, means I pay less tax)

That means that Agnes was overpaid and they are recouping money from April.

daver · 7 Feb 2011 at 20:43

I think the long term aim was for the personal allowance to rise to 10K over the next few years. I remember when I was working for the revenue it was about 4600

Vonhelmet · 7 Feb 2011 at 20:56

simulatorman said:
The new personal allowance has gone up from £6475 to £7475.

Ah, yeah, didn't think of coding notices going out already.