P800 Tax Calculation help

[di30]

Re: P800 Tax Calculation help

I shall try chasing Ju up to ask if she any updates, letters etc......

[di30]

Re: P800 Tax Calculation help

I dont think Ju heard anything yet (no letters yet) but as we know, it can take some time lol.

[di30]

Re: P800 Tax Calculation help

Right found some info, although it may not be all that may be needed.

Some of this paperwork is quite difficult to work out lol.

But this is what I have come across.

Now the fact that Ju got paid monthly or every 4 weeks, it shows a record for period 4, so I take it this means 4 months/payment in as from April 2010 to August paydate, which makes 4 wages payments?
If so this is what it says.......

Contributions/Credit information recorded for this period is 4.
Your class 2/3 contribution and credit earnings factor was £380

Information Recorded for each tax year:
Here is your NAT iNS contribution info for the tax year 2010-11.

Contribution/Credit info:
Your tax district as notified by employer:
The amount of total pay for this year: supplied by employer: £9019.50
The amount of total tax is £1106.00
Employment end 30/08/2010
Current employment taxable pay: £9019.50.
The amount of tax deducted by employer: £1106.00

Final Tax code: 647L

.................................................. .......................
Contribution/Credit info:
District number:
Commenced employment: 30/08/2010
Total pay supplied by employer: £11321.40
The amount of tax for this year: £968.20
Current taxable pay: £11321.40
Tax deducted: £968.20

Final tax Code: 647L

P14 Col 1a Earnings up to and inc lower earnings limit (where earnings reach or exceed the LEL): £2910.00
P14 Col 1b Earnings above the lower earnings limit up to and inc he earnings threshold: £390.00
P14 Col 1c Earnings above the earnings threshold upto and inc upper accrual point.
Total Contribution: £1909.05
Primary paid earnings: £11321.00
Primary Contribution: £882.32
.................................................. .................................................. ................................

[di30]

Re: P800 Tax Calculation help

Ju used to get paid every 4 weeks in her previous job, and weekly ever since. But I doubt if that would make any difference to how tax/ins is worked out does it?

I had a look through her SAR info and there's details on tax and nat insurance, will see if i can find any details matching what you posted SXGuy, cheers :-)

[di30]

Re: P800 Tax Calculation help

Its all really confusing Di to be honest, the only way to know where they got 179 from is to wait for the letter, and then we can see if the calculations are right.

Cheers SXGuy

I agree.

I do have wads of her SAR here, and think there's details of contributions, can always check them out when I have 5 mins....

The letter she receives should hopefully give details this time. (I'm not even sure if she is taking it further or not) but think she just wanted some clarification in case anything like this happens again, so she knows to deal with it if it does.

Thank you :-)

[SXGuy]

Re: P800 Tax Calculation help

Its all really confusing Di to be honest, the only way to know where they got 179 from is to wait for the letter, and then we can see if the calculations are right.

[di30]

Re: P800 Tax Calculation help

Ah hang on, might have found it

Earning from previous employment: April 2010-August 2010 £9,019.50
Tax free allowance: £6470.00
Total Taxable:£2549.50
20% Tax Due: £509.90

She paid tax of £1106.00.

£9019.50 - 2697.92 (tax allowance over 5 months) = 6321.58 taxable. Tax @ 20% = 1264.32. 1264.32 less paid (1106) = underpaid by £158.32.

Now if that 179 includes underpaid national insurance contributions, then that may be it.

Oh that looks like it could be that!! Cheers SXGuy, I didnt think of the NAT Ins as well!! Great!!! good one!! Cheers :-)

[di30]

Re: P800 Tax Calculation help

...............I may have got that wrong of what she paid £968 tax from current employer.......

But the underpayment was originally £698

Where going by her letter she received not long ago she was told £519.80 is to be taken back from her current employer (as she been with them since Aug 2010), so almost £179 remaining to pay which they used Ju overpayment towards that amount.

Not sure how the previous employer comes into this? (if tax was still owed from April 2010 to the date she ended employment with them Aug 2010)?

[SXGuy]

Re: P800 Tax Calculation help

Ah hang on, might have found it

Earning from previous employment: April 2010-August 2010 £9,019.50
Tax free allowance: £6470.00
Total Taxable:£2549.50
20% Tax Due: £509.90

She paid tax of £1106.00.

£9019.50 - 2697.92 (tax allowance over 5 months) = 6321.58 taxable. Tax @ 20% = 1264.32. 1264.32 less paid (1106) = underpaid by £158.32.

Now if that 179 includes underpaid national insurance contributions, then that may be it.

[di30]

Re: P800 Tax Calculation help

Thanks SXGuy will have a go now lol, I'm hopeless at this sort of thing lol.

So basically put in the full amount of £20340 of both incomes together into the calculator?

(Just wondering where that £179 would have come in of what they used of her original payment due, to see if it could have been the previous employer - where the payment may have been due, but not sure how to work it) lol.

Okay here goes for the year:

Total Gross pay 2010-11 £20340
Tax Free Allowances: £6479
Total Taxable: £13,861
Tax Due: £2772.20


So she paid £1106 from the previous job, and approx £968 with the current job where HMRC are asking for the underpayment back from them, but nothing proves if the previous employer was responsible for the remaining £179 that they taken from Ju's £449 overpayment??

Stuck?? :-/ lol

[SXGuy]

Re: P800 Tax Calculation help

Earning from previous employment: April 2010-August 2010 £9,019.50
Tax free allowance: £6470.00
Total Taxable:£2549.50
20% Tax Due: £509.90

She paid tax of £1106.00.

She would have paid more because she left in August and earned £9019.50 over 5 months. Had she stayed a whole tax year, the tax would have reduced down.

Tax codes for the year are divided by the rate of pay. so 6470 / 12 * 5 months, is what her allowance would have been at that point.

Earnings from August 2010 to April 2011: £11,320.00
Tax Free Allowances: £6470
Total Taxable: £4850
20% Tax Due: £970

Total income for year of both of the above as shown on P800 Tax Calculation Tax year 2010-11 = £20340.

Now do I go by tax due or total taxable?

thanks.

What i think you will need to do, is calculate the tax due based on her total income for the year April to April, use her tax code of 647L, would out the tax due, and deduct it from what shes actually paid. that will give you an idea of whats still due or what owed.

[di30]

Re: P800 Tax Calculation help

Earning from previous employment: April 2010-August 2010 £9,019.50
Tax free allowance: £6470.00
Total Taxable:£2549.50
20% Tax Due: £509.90

She paid tax of £1106.00.

Earnings from August 2010 to April 2011: £11,320.00
Tax Free Allowances: £6470
Total Taxable: £4850
20% Tax Due: £970

Total income for year of both of the above as shown on P800 Tax Calculation Tax year 2010-11 = £20340.

Now do I go by tax due or total taxable?

thanks.

[di30]

Re: P800 Tax Calculation help

Sorry Di, was out drinking last night, only just seen this. http://www.listentotaxman.com/ one on this site is pretty good, may be a few pennies out though, something to do with them treating the L as a 9 instead of 5. but you will get a rough idea.

Thank you SXGuy

Hope you had a good night :-)

Do I put in each job earnings over a year? (as from April to August was her previous employment) but put in her full taxable income for yearly?

I shall give it a go anyway and see what we come up with, thanks.

[SXGuy]

Re: P800 Tax Calculation help

Sorry Di, was out drinking last night, only just seen this. http://www.listentotaxman.com/ one on this site is pretty good, may be a few pennies out though, something to do with them treating the L as a 9 instead of 5. but you will get a rough idea.

[di30]

Re: P800 Tax Calculation help

.......Been working it out.

With the above earnings from the previous employer 2010/2011 of £9019.50
The earning with current employer 2010-11 works out at £11,320
Full total for 2010-11 year = £20340 from both the above employers for that tax year.

So with the tax code being 647L for that year (Basic tax paying Rate @ 20%) maybe an online tax calculator for each earnings will help to find that problem of where they recently used part of the payment.

What do you think?


Thanks.