Tax Code change after bonus

[Poko]

Hi all,

I started my financial year on a tax code of 1100L, but received an additional months salary last month and was switched over to 670L tax code and it looks like I paid more tax than necessary that month..
The usual annual salary + bonus would put me just under £32k, so I wouldn't of hit the 40% bracket - unless they assumed the bonus would continue every month?

But have received this months payslip and I'm still on 670L - Can anyone shed any light on why? Should I return to 1100L or will I get a rebate next year? My HR have told me to call HMRC, but I figured before I stick myself in an hour long phone queue I'd ask the masters of PH!

I did receive my company car about 4 weeks ago too.. I'm not sure if that changes anything as the tax code was changed a month before I received the car?

Edited by Poko on Friday 2nd September 11:55

[Poko]

No, the car's PTL comes to £1,295 a year.. So would that make the correct code 970L?

[Poko]

Richard-G said:

I don't think that's the cash equivalent. Unless you've got a plug in hybrid?

Ah - it's still all a bit new to me and I'm a little confused
Car's a Mini Cooper S JCW - Seems to add up I guess.. So the tax I pay comes from reducing my allowance from £11k to £6.7k, so with 20% of the difference.. £860? Is that the tax I'd pay for having the car.. Or do I still have to pay the £1,295 PTL value as well? So £2k+ a year?

[Poko]

Eric Mc said:

Surely you would have checked the tax impact of having a company car BEFORE you agreed to it?

I checked the BIK/PLC and it was £1,295 a year - I just didn't realise it was taken from reducing my allowance, so the cost I knew - just how it gets taken was something I didn't quite know I suppose.

I needed a new car anyway and a company car fitted me perfectly, where else could I get a car that isn't a low spec Fiesta for £107 a month that includes insurance and servicing?