Whats the right tax code for the below?
Discussion
Saddlebag said:
Thanks!
For some reason HR seem to think its K23.....which it was at her previous job, when she had a car and fuel card.
Her new employer is obnliged initially to carry on with the coding from her previous employment. However, on the assumption that she has no benefits in kind and no other factors affecting her code in the new job, then, as the previous poster said, eventually, the code should revert to the normal Standard Code for 2011/12, which is 747L.For some reason HR seem to think its K23.....which it was at her previous job, when she had a car and fuel card.
It may take a few weeks and it could be that the code may not be changed in time before the 2011/12 tax year has ended.
She also needs to keep an eye out for the new 2012/13 tax code. These are being issued by HMRC at the moment and there is a good chance that her first 2012/13 code may also show a company car adjustment - which will be totally incorrect. So, she may have to take some action to ensure that she gets a correct code for 2012/13.
In PAYE Land - Coding Matters.
XDA said:
Give HMRC a call and inform them of the change (no company car and fuel card). They should then issue a new coding notice?
Do this, and do it now. If you're lucky they'll issue the P6 in time for the March pay run, any overpayment of tax will be automagically refunded through payroll and it'll all be done and dusted. If it's not done for March's pay (last of the tax year) it may take a little while to get the money back as it would have to come direct from HMRC. Get the number to ring from the HMRC website.If HMRC do fix it all through payroll the tax code they issue almost certainly won't actually be 747L. To fix the overpayment of tax they'd need to issue a cumulative tax code - one which takes into account all your taxable pay and tax paid for the year (this is how PAYE normally works). That code would need to reflect the X months of company car etc. You can think of it as the X months worth of K23 and Y months worth of 747L all in one tax code.
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