Tax code question

[Stuart]

Possibly a very stupid question but I wasn't able to find an answer with any googling, but does anyone know what "CUM" at the end of my tax code stands for?

[LC23]

Cumulative. As in they are applying your tax code on a cumulative basis. This means they should have taken the income and taxes paid to date during the tax year into account when calculating the PAYE due each month. Is your tax code 647L?

Edited by LC23 on Monday 27th September 20:13

[CinqAbarth]

Hmmm, I have one of those codes, too.

Mine's 218L.

I have a company car, and I think I may have underpaid on a company car in the last tax year.

Looks very low to me, considering the car is a Prius - but I could be wrong.

[Stuart]

Thanks for the response. Tax code is 587L CUM.

[LC23]

Stuart said:

Thanks for the response. Tax code is 587L CUM.

You have something in your tax code reducing your personal allowance then.

[Stuart]

LC23 said:

Stuart said:

Thanks for the response. Tax code is 587L CUM.

You have something in your tax code reducing your personal allowance then.

Healthcare, valued @ £600 I think.

I ask because the tax I've paid for the past couple of months seems a very small proportion of gross income (around 31% in total) when I'm firmly into the 40%. My tax affairs are otherwise uncomplicated - gave up the company car around 18 months ago, not self assessed etc etc.

Do you think they're compensating for me having paid too much tax earlier in the year perhaps?

[Eric Mc]

Stuart said:

LC23 said:

Stuart said:

Thanks for the response. Tax code is 587L CUM.

You have something in your tax code reducing your personal allowance then.

Healthcare, valued @ £600 I think.

I ask because the tax I've paid for the past couple of months seems a very small proportion of gross income (around 31% in total) when I'm firmly into the 40%. My tax affairs are otherwise uncomplicated - gave up the company car around 18 months ago, not self assessed etc etc.

Do you think they're compensating for me having paid too much tax earlier in the year perhaps?

You should have received a Detailed Notice of Coding showing how they have arriived at the coding they are using. If you haven't, phone them up and ask for a detailed coding to be sent to you in the post.