This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

2 jobs Tax Question

anabela1607
Posts:1
Joined:Wed May 19, 2021 6:06 pm
2 jobs Tax Question

Postby anabela1607 » Wed May 19, 2021 6:12 pm

Hi there
1. I have recently started full time employment( new tax year) meaning I don’t pay any tax at the moment
I am considering taking on another part time position and was wondering how that would work
Will it affect my first tax code meaning I will start paying tax on my first job or I’ll just get BR tax code on my second part time job and still won’t be paying tax on the 1st job until I exceed my personal allowance?


2. Another scenario
What would happen if I’d change jobs and decide to leave my current position and working only one (new job). Will i start paying tax instantly as that would not be my first job in this tax year? Or I still won’t be paying until I reach my annual allowance??

Many thanks f

robbob
Posts:3149
Joined:Wed Aug 06, 2008 4:01 pm

Re: 2 jobs Tax Question

Postby robbob » Wed May 19, 2021 7:34 pm

Will it affect my first tax code meaning I will start paying tax on my first job or I’ll just get BR tax code on my second part time job and still won’t be paying tax on the 1st job until I exceed my personal allowance?
You should start on BR code but you can split your allowance if you shoose once you have had your fisrt payslip you will need to contact hmrc.

Note with fisrt job you will start paying tax as soon as you reach pro rara portion of persoanl allowance for ytd so you may pay tax earlier than you would expect

eg at end of June (3 months) you have 1/4 of personal allowance avaialble , so cumulative salary over 12570/4 = 3142 at that point will result in tax being deducted from job 1
2. Another scenario
What would happen if I’d change jobs and decide to leave my current position and working only one (new job). Will i start paying tax instantly as that would not be my first job in this tax year? Or I still won’t be paying until I reach my annual allowance??
If you hand over p45 in timely fashion the prior ytd figures will be added in and it would be buisnes as usual although there is scope for stuff to get "weird" eg you may get paid by two employers in one tax month which can result in higher tax being deducted that would be expected in period 1 of new job as long as code is cumulative things will be allright on the night eventually as long as ytd totals match reality .


Return to “Income Tax”