Tax codes?

[anne21]

Hi, I need some help regarding my brothers tax code. He is currently working for a company but when he receives his payslips - he has quite alot of tax deduction. His current code is BR 0 and I have no idea what this means. He wants me to help him with this matter but I know nothing about taxes. He has learning difficulties and I dont want him losing out on anything.

 

Any information would be appreciated.

 

Thank you

Anne.

[NeptunesKiss]

Hi,

 

It's a basic rate tax code for a second job. If it's incorrect you can get it corrected by contacting HMRC. It basically means that he pays basic rate tax as his personal allowance has already been used up through his first/main job.

Edited July 2, 2012 by NeptunesKiss
Clarification

[anne21]

well his been doing agency work for a while and now his working with a company whenever they need him. I think his tax code is incorrect. For example last weeks payslip, his total was £319.05 for the hours he worked, then they deducted £63.80 income tax & 20.77 national insurance - leaving him with £234.48. This has been for a couple of months now..

 

Also i dont understand another thing.

At the bottom of the payslip there is a box which says:

 

taxable pay to date - £1429.15

tax to date - £285.80

NI to date - £34.02

 

taxable pay TP - £319.05

NIable pay TP - £319.05

 

WHAT DOES THIS ALL MEAN? :/

 

And what would I have to say to the HMRC when i contact them?

 

Regards

 

Anne.

[NeptunesKiss]

Well, basic rate tax is at 20% so £63.80 from a wage of £319.00 is correct. If he's still registered with the agency as well as working for someone else, then he does have a second job, so it looks right to me. If you feel it's wrong then get onto the HMRC website and follow direction from there, should provide relevant contact details etc.

[ims21]

well his been doing agency work for a while and now his working with a company whenever they need him. I think his tax code is incorrect. For example last weeks payslip, his total was £319.05 for the hours he worked, then they deducted £63.80 income tax & 20.77 national insurance - leaving him with £234.48. This has been for a couple of months now..

 

Also i dont understand another thing.

At the bottom of the payslip there is a box which says:

 

taxable pay to date - £1429.15 -> His taxable pay in this employment to date for this tax year

tax to date - £285.80 -> Tax deducted in this employment to date for this tax year

NI to date - £34.02 -> National Insurance paid to date in this employment for this tax year

 

taxable pay TP - £319.05 -> Taxable Pay for This Period (e.g. week or month)

NIable pay TP - £319.05 -> Pay on which National Insurance is payable for This Period (e.g. week or month)

 

WHAT DOES THIS ALL MEAN? :/

 

And what would I have to say to the HMRC when i contact them?

 

Regards

 

Anne.

 

 

See above in red

[anne21]

Oh is that what you meant by second job :$

No, he's only working for one company but his probably still registered with the old agency... Would that make a difference if his registered with them but not working for them? :/

 

Thank you for your help, you've made things more clear for a confused girl like me

[anne21]

Oh thank you Ims

[Gbarbm]

Did he complete a form P46 when he commenced the job?

If he did and ticked the box which states " I receive income from another job" then code BR (basic rate - 20 pence fax deducted for every £1.00 earned)

If he was still on the books of the agency then if he has done no work at all for them for 3 months, then the PAYE regulations state that they must issue a P45

[anne21]

Did he complete a form P46 when he commenced the job?

If he did and ticked the box which states " I receive income from another job" then code BR (basic rate - 20 pence fax deducted for every £1.00 earned)

If he was still on the books of the agency then if he has done no work at all for them for 3 months, then the PAYE regulations state that they must issue a P45

 

 

Erm he says he didnt complete a p46 form when he started during the christmas period, but then i cant be too sure because hes probably forgotten that he did :/

 

& once or twice his had the code "OT" on his playslip aswell.

 

he stopped working at the agency back in jan/feb but then re-joined them end of May & since then hes worked only one week (which was at the beginning of June). So apart from that one week, he hasnt recieved any oither income from that agency. But then he doesnt wanna leave the agency either just incase the company his working for decide not to hire him (because his not on a permenant contract or anything, as he just does shifts there when required). So hes keeping the other agency as back up, but then hes losing out.

 

 

urghhh, im ever so confused - i dont know what to do :/

[anne21]

I just found a p45 form giving to my brother by hes current employer on 03/02/2012... What does this mean because hes still working for them? :/

[Gbarbm]

Odd! A P45 is a cerificate of pay and tax when leaving employment. Is the employee pay number or staff number on there and if so is it correct?

[anne21]

Do you mean payroll number? Because the payroll number on his payslips & p45 form dont match! :/

[Gbarbm]

Well that sounds as if the employer has made a mix up then because the payroll number should be the same; think it might be worth querying that.

[anne21]

Yep, i have sent an equiry to the Payroll team of the company...

 

They sent me a form in regards to my tax code... But im not sure which out of the two applies to my brother :/

 

Your Circumstances

A - This is my first job since last 6th April and I have not been receiving taxable Jobseeker’s Allowance, Employment & Support Allowance or taxable Incapacity Benefit or a state or occupational

B – This is now my only job, but since last 6 April

I have had another job, or have received

taxable Jobseeker's Allowance,

Employment and Support Allowance or

taxable Incapacity Benefit. I do not receive

a state or occupational pension.