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Where Taxpayers and Advisers Meet

Additional Income

TomPat
Posts:3
Joined:Sun Aug 13, 2017 7:13 pm
Additional Income

Postby TomPat » Sun Aug 13, 2017 7:27 pm

I have been taxed at 20% on my pension after tax code applied. I also do supply teaching and this is taxed at 20%. I have started a 1 year contract with the same employer I do supply work for, which means my earnings will mean that I will have earnings in the 40% tax rate. Recent payslips are showing that I am still being taxed at 20%. My question is will the higher earnings not be picked up till the end of the tax year and then I will have to repay the tax at start of 2017/2018?

TomPat
Posts:3
Joined:Sun Aug 13, 2017 7:13 pm

Re: Additional Income

Postby TomPat » Mon Aug 14, 2017 2:11 pm

*Should read 2018/2019 not 2017/2018 at end of post.

bd6759
Posts:4262
Joined:Sat Feb 01, 2014 3:26 pm

Re: Additional Income

Postby bd6759 » Mon Aug 14, 2017 7:00 pm

Phone HMRC and tell them what your estimated income will be. They can adjust your code to colect any HR tax.

TDR
Posts:65
Joined:Wed Mar 16, 2011 12:56 pm

Re: Additional Income

Postby TDR » Sun Aug 20, 2017 4:20 pm

Whilst there's certainly no harm in following bd6759's advice, it shouldn't actually be necessary anymore. HMRC have now launched dynamic coding, which means that they should use RTI submissions from your employer and pension payer and adjust you code automatically.

I emphasise "should", since, well, HMRC. Not that good at what they do, really, are they?
[url]http://www.tdrtax.co.uk[/url]

25 Years UK personal tax experience

TomPat
Posts:3
Joined:Sun Aug 13, 2017 7:13 pm

Re: Additional Income

Postby TomPat » Wed Aug 23, 2017 7:44 pm

Thanks for all advice. I logged into my HMRC account and as the last post suggested my new tax codes have all been amended automatically to take into account my higher earnings.


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