Emergency Tax

Illegal Alien

I've been working since November last year and I have been on emergency tax ever since...my income is now being taxed by an additional 25% or so...so I urgently need to rectify this as meeting rent and day to day expenses is becoming more and more difficult (with no room for recreational spending, enjoying myself ). This wouldn't be such a problem if I was on my normal tax bracket.

Ok, so here's the problem. I can't get a P45 from my last job which I had during college because they've disapeared (dodgy marketing company) and I got my P60 for the calendar year '05 from my current employer, but I'm told the revenue will be sending something out in the post (tax credits or whatever) to get me off my emergency tax.

Basicly I don't have a clue about the whole situation and have very little time on my hands to call during work and I'm not at home much to get on the net to research it (first chance I got was tonight)

So what can I do to get off emergency tax and do I get every penny back outside of my tax bracket? And do I need to do two seperate applications for tax back for tax years '05 and '06?

Oh, and how do I claim it back?

Thanks a million for help and advice.

seamus

At the start of each year, the tax office issues a certificate of Tax Credits to you (and your employer). Usually this cert doesn't go out immediately at the start of the year, so employers use the tax credits from the previous year to work out your tax.

What has happened to you is:
Your previous employer didn't issue a P45, so the tax office has no way of knowing that you work for your new employer.
Thus, your new employer has been taxing you on the same basis as last year (i.e. emergency tax), and has not yet received your certificate of tax credits (because the tax office doesn't know you work for them).

What you need to do is:
1. Ring the tax office. Explain to them that you need to have a certificate of tax credits issued to your new employer. You may need your employer's registered number or VAT number or something.

2. Ask them about claiming back your tax for the '05 year. They will probably have information about the amount of tax you paid with the old employer, and you will need to send on your P60 so they can work out how much you should have paid, and as such how much you're owed back.

3. You can't claim back tax for this year. When your employer receives the cert. of tax credits, they will give you back a certain amount of your tax in each payslip, until you're all square.

pcwares

Not being funny but have you not seen the thread below...

how to claim your tax back...that 'just might' em...solve your problem.

(regarding dodgy marketing firm...maybe they pocketed the cash they were purporting to be paying the taxman -- edit: Btw one of my colleagues was involved in one of those type of marketing hiace companies -will investigate if i can get any info relative to your situation but if all else fails resort to the below)

Find them...torture them and get your money back. - check out woodys homepage for freelance retribution.

Pc of the Planet Warez

Litcagral

Some employers are prepared to give an employee a loan to cover them while their tax is being sorted out. They can then get repaid when the refund comes through. This happened to me (albeit it was over 18 years ago - times may have changed since).

Stark

Well a lot of employers do "advances" these days. Typically only for recent hires though.