Refund of NI contributions and UEL threshold

[silky]

Hello folks,

I’m planning to see a tax adviser on my return to the UK next month, but does the following sound plausible? My colleague and I should have been receiving a tax free allowance every month for living abroad from our company. For the last six years my company paid NI contributions on this in error. They agreed to refund the payments. I’ve just received the figures.

I get paid a UK salary, but I’m not liable for Income Tax, only NI.

My colleague earns a lot less than myself, low 20s. His allowance is also half of what I get, this has varied from 3-12K per year for me. When they made the calculations for re-imbursement of NI contributions he is due three times as much as me. He is being reimbursed over 2K whilst I am only receiving 600 pounds. My company are claiming that this has to do with the fact that I am above the UEL threshold most months. I have the figures that they provided.

My payroll are known for their incompetence and stupidity, hence why I’m getting this double and triple checked.




Cheers

Silky

[silky]

What may be a slightly easier question to get answered. Would my salary be automatically used for the 10% rate and any subsequent allowances paid at the 1% rate?


Cheers