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I think I may be paying too much tax. Please can anybody help?

Last post Sun, Nov 23 2008, 9:25 PM by maxsteam. 1 replies.
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  •  Sun, Nov 23 2008, 12:58 PM

    I think I may be paying too much tax. Please can anybody help?

    Hi there, I'm wondering if anyone is able to help,

    I have a feeling I may be on the wrong income tax code (PAYE) - mine begins 529L. Apparently if you add a zero on the end of your tax code this gives you the amount you can earn tax free- in my case £5290, but according to the inland revenue website the personal allowance for this tax year is £6035 - which would this suggest i'm paying too much tax.

    The only taxable deduction I have coming out from my salary is around £475 a year health insurance benefit, but by my reckoning even if I deduct this amount from the £6035, I'd still be left with £5550 - so therefore shouldn't my tax code be 555L?

    I've always paid tax and been in work continuously for several years, now I'm unsure if i'm being emergency taxed or whether or not I'm on the right taxcode, and if not. I'd greatly appreciate any advice or knowledge anyone can offer on my situation before I take it up with the inland revenue.

    Many Thanks.

    Paul

    • Post Points: 20
  •  Sun, Nov 23 2008, 9:25 PM

    Re: I think I may be paying too much tax. Please can anybody help?

    I can't think of anything obvious unless there's some tax owed from an earlier year. A friendly call to your local tax office should get you an answer.

    http://www.hmrc.gov.uk/incometax/code-wrong.htm

    • Post Points: 5