Tax Codes (Scotland)
Discussion
Trying to sort out family tax, which should be simple.
Think we have sorted my wife and I but my son claims to have never received a "Notice of Coding" ever.
He's a full time student with a part time job, his pay slip shows a coding S1256L, last year it was S1257L. He's no idea why it's changed but more puzzling is why has he never received a tax code notice? His employer obviously has.
Do they not issue them to young folk anymore?
Thanks
Think we have sorted my wife and I but my son claims to have never received a "Notice of Coding" ever.
He's a full time student with a part time job, his pay slip shows a coding S1256L, last year it was S1257L. He's no idea why it's changed but more puzzling is why has he never received a tax code notice? His employer obviously has.
Do they not issue them to young folk anymore?
Thanks
Thank for that, trying to understand what's happened when he's trying to tell me but doesn't understand the system and nor do I!
He's never received a letter or email from HMRC
Today we enrolled him on the HMRC Gateway set up thing so he should receive the relevant docs and info.
It appears that his tax code S1257L was reduced to S1256L because of £5.19 interest from a BoS bank account in the 24/25 tax year.
He no longer got interest from that account when he turned 18 (now 20) but I think they're playing "catch up".
So that explains the change, except why does £5.19 affect his tax when you can earn up to £1000 tax free?
It's difficult for me to explain something I don't always fully understand to someone who isn't that financially savvy himself.
(see Blind leading the Blind).
He's never received a letter or email from HMRC
Today we enrolled him on the HMRC Gateway set up thing so he should receive the relevant docs and info.
It appears that his tax code S1257L was reduced to S1256L because of £5.19 interest from a BoS bank account in the 24/25 tax year.
He no longer got interest from that account when he turned 18 (now 20) but I think they're playing "catch up".
So that explains the change, except why does £5.19 affect his tax when you can earn up to £1000 tax free?
It's difficult for me to explain something I don't always fully understand to someone who isn't that financially savvy himself.
(see Blind leading the Blind).
Skyedriver said:
Thank for that, trying to understand what's happened when he's trying to tell me but doesn't understand the system and nor do I!
He's never received a letter or email from HMRC
Today we enrolled him on the HMRC Gateway set up thing so he should receive the relevant docs and info.
It appears that his tax code S1257L was reduced to S1256L because of £5.19 interest from a BoS bank account in the 24/25 tax year.
He no longer got interest from that account when he turned 18 (now 20) but I think they're playing "catch up".
So that explains the change, except why does £5.19 affect his tax when you can earn up to £1000 tax free?
It's difficult for me to explain something I don't always fully understand to someone who isn't that financially savvy himself.
(see Blind leading the Blind).
Bank interest and £1000 tax free "side hustle" are classed as different things, and they like to estimate your future interest based on old data to change current tax codes.He's never received a letter or email from HMRC
Today we enrolled him on the HMRC Gateway set up thing so he should receive the relevant docs and info.
It appears that his tax code S1257L was reduced to S1256L because of £5.19 interest from a BoS bank account in the 24/25 tax year.
He no longer got interest from that account when he turned 18 (now 20) but I think they're playing "catch up".
So that explains the change, except why does £5.19 affect his tax when you can earn up to £1000 tax free?
It's difficult for me to explain something I don't always fully understand to someone who isn't that financially savvy himself.
(see Blind leading the Blind).
To sort the tax code (if you don't think he'll get interest this year):
Log into the App,
go to PAYE and check current tax code.
Should be a "update your income estimate" or something like that and change to 0..
They'll put it back to 1257 and may get a refund in his next pay.
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