Reclaiming PAYE tax

elgordo2

Hi,
I'm a college student who is looking to reclaim tax from a job I had over the summer. I have now started new employment, I am having a hard time finding out how to get the refund from my old job, as I can't use a P50 form.
I have given my new employer my P45, but I don't know what to do next. According to another thread on this site, my new employer will pay back all that is due. Is this case? If not, what should I do?

seamus

Yeah, that's pretty much it. Your new employer can balance the tax paid over the summer against your current liability to determine how much tax to pay for you in each payslip.

The aim is that by the end of the year your pay has been adjusted so that Revenue have received the correct amount of tax for you for the whole year. In effect this may mean that you will pay no tax for December.

However your employer can't refund you any tax you've paid. All they can do is reduce (or increase) the amount of tax you pay until the amount you should have paid and the amount you have paid, match up.

So being December, chances are you will have overpaid tax for this year. When you receive your P60 in January or February, you will need to go to Revenue and request a balancing statement, where they'll calculate whether you paid the correct amount of tax, and refund you if necessary.

Mrs OBumble

That is usually the case.

However since its so close to the end of the year, you probably won't have tax credits allocated for the new job.

So you'll have to w account wait until next year. After you get a P60 from your current job, call revenue and ask for a balancing statement for 2016.

elgordo2

OK, thanks for that, it clears things up.