suerye
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Other answers are way wide of the mark.
The first 5435 of your annual income is tax free - it doesnt mean you earn 5345 and then pay tax - that would be bad for your cash flow!
The 5435 is divided into 52 weekly amounts of £104. The first £104 each week is tax free, then you pay 20% on the rest. If you are monthly paid you get one twelth of the 5345 tax free per month.
EDIT: No, you make your refund claim as soon as you leave work - dont wait until April if you know you are not going to work again this tax year.
If you stop work in 6 mths, you can reclaim any tax overpaid using form P50, assuming you will not be claiming JSA. |
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aodroser
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no you need to contact the tax man and claim your money back this mayb take some time aswell
my sister got that aswell she was making like £100 a week and getting taxed ... but she got it all back |
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jamo21
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Don't worry a lot of my friends have the same confusion as you. Right, you are allowed to earn just over £5000 a year tax free. But this is divided into weekly tax free allowances, approximately £95 a week. So out off your £185 pay, £95 was tax free and you were taxed on the remaining £90. Tax is approximately 22%. I hope this helps |
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Adi
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you will get taxed. You need to have your job for one year and then you can claim it back in the next financial year (31st March 1st April). If you didn't get taxed before then, then you would never pay tax. That would not be so good.
I work for the government (British Forces) and i get taxed. They pay me my wage and then take it off me. Why don't they just give me what my taxed wage is. I hope this ain't to confusing? |
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Heralda
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I don't know the answer to this myself, but as you are talking about pounds sterling, I'm assuming you live in Britain. The Citizens Advice Bureau may have someone who can give you advice on this subject, and you can even get free legal advice if you need it.
Good luck! |
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shadowsthathunt
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Ok, you are not in the US, however if it is anything like here... you will be taxed on your checks, however you may not have to file an anual tax return form if it is under the given amount (that is how it is here). Im sure this is of little use to you, but it was worth a shot, good luck hun. |
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Hat-A-Tat-Tat!!
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jamo 21 is absolutely correct! |
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rugratzzzzzzzzzzzzzzz
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Not sure what the individual tax codes are but what ever it is you are not taxed up to that amount. what will happen is that you are probably on emergency tax after a while you will get a new tax code and your employer will stop taxing you until you reach a certain amount. not sure what that will be, what ever happens you will get any overpaid tax back. just keep a check on it. think of it as a little saving account.
go to the inland revenue website loads of info
I live in Denmark (English though) tax is about 45% think your selves lucky at 22% cars are twice the price you pay in the UK. |
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floppity
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Yep, £5,000 a year is the minimum, so I think you are getting more than that. Just be grateful you aren't on emergancy tax - thats just nasty. Welcome to the tax payers world, get used to feeling this way. |
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The Ghost
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Yes your right about the £5000 but the taxman works out how much you will earn in your job over a year and taxes you monthly based on that figure. If you quit work after six months you can claim the tax back the year after. |
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+*¨^¨*+ ßabyCurlz+*¨^¨*+
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lol they tax u for everything here |
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dels replies
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Yes the pay you get is taxed on the basis that you will be earning the same amount per week for the next year,,, something loke £9600 for the year so you will be taxed on something like £4600. The fact you will only be working for six months is not taken into account, so when you stop work. and receive no more pay, you will have earnt much less in the year than at first calculated... So the inland revenue will refund all or most of the tax you have paid, It is the waythe system works, This is the PAYE system as opposed to the self employed who pay their tax in arrears. You actually pay in advance. |
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navi
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basically you have a code number, lets say it is 500. This converted alows you £5000 in earnings before you are taxed. However, if you have no code number your employer may be taxing you on an emergency number. This is reclaimable. |
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TallPaul
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The tax-man isn't psychic and doesn't know you'll only be in the job for 6 months... You'll pay tax monthly as if you were earning that amount every week for the year. You can claim it back in April 2009. |
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Bren
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u should not be taxed until u have earned the personal allowance which is approx £5000 as u say. maybe they have put u on emergency tax which they have to legally if u dont have a tax code, however once it is sorted out then u should get the tax paid refunded and not pay any till u have earned beyond the allowance. this is what happend to my daughter. |
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steffi
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Fengirl2 is right on the current tax year 2008/2009. Other answers are rubbish!
I think you need guidance on how to claim your tax back for the last tax year 2007/2008. For that tax year, you could earn £5225 in the year, which goes from 6th April to 5th April before you had to pay tax. I guess your employer had you on the emergency tax code of 522L, on a month 1 basis. I am assuming you didn't come to the UK from abroad. Your employer has to give you a form P60 within 6 weeks of the end of the tax year. The tax office will want to know what you were doing from 06/04/07 until you started this job. The easiest way to submit this is to download form P91 from hmrc/p91, complete it, and send to tax office with form P60. Make sure there are no gaps in your history of employment, even if the answer is something like full-time education, or househusband. If you have come from abroad, you will also need to complete form P86 (download from hmrc/P86) so that your residency status can be determined. Tax office will then send you computation, and any refund which may be due.
For the current year, your whole tax allowance of £5435 cannot be given in advance. If you go on to claim Jobseekers after current job finishes, Jobcentre will act as employer, and make any refund due either when you sign off, or at end of tax year, whichever comes first. If you are going abroad, possibly a form P85 with your P45, or else a form P50, depending on your residency status and intentions. Both can be downloaded from HMRC website. |
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gangsta!
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Technically yes, if you are over the age of 18, and do not wish to pay taxes, you could have even more money taken away from you, including a jail sentence. Depending upon your country, your legality is important. You can be stripped of this if u do not pay taxes. soo it'd b smart to pay taxes. for the first 5,000, you are not taxed. It is wise to keep trake of your amount of money you receive from your job. |
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cobberor
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Not sure how your income tax works, but over here employers are required to withold tax. You get it back when you file your tax return in April of the next year. |
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mizangeleyes
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the figure u can earn b4 tax is £5225 ish & they will tax u incase u earn more in the tax yr, it's easier 2 take it as it comes thru the yr than bill u 4 ur tax at the end of the yr. this month or soon after (maybe nxt april if u feel the need) u need 2 fill in a form 2 reclaim the tax u've paid thru the yr. u have 6yrs 2 claim it back |
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susie coo
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Firstly at the end of the tax year the first £5225 is your tax free allowance. If you are only earning £185.00 per week and only working six months then ok you will have to pay tax and national insurance contributions each week or month you are paid but at the end of the tax year you can write to the tax man he will send you a P.90 you fill in this small form and your tax will be rebated but only if you do not work the rest of the tax year. |
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tiger tiger
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hey...welcome to rip-off britain..!!! |
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