Warnings are appearing in various forms of the media to check your Tax Code .
I have been a “ victim “ of the new Tax Code Software being used by HMRC . In May of last year everything was normal and out of the blue I received a new Tax Code and chaos developed . In a period of six months since then I have telephoned and written to HMRC and have had a further six Tax Codes … I am now where I was back in May . The annoying thing is that my Pension suppliers were acting on new Tax Codes as they received them and deducting what they incorrectly believed to be unpaid Tax . I have been further advised that any errors in my Tax paid this year will not be corrected until the Tax year 2011/2012 .
I do not blame the software but the way it has been rolled out apparently without adequate parallel testing … why does the Public Sector always seem to have problems with such work ? I have been involved in the implementation of complete Business Solution IT Projects in the private sector where failure was not an option on the go live date .

Well they must be desperate as I have had my notification of change of basic rate, reduced by a whole £8, so they can get back the £1.83 I owe them!

I've been put on a full 40% take back, and I'm not near that limit.

I got a new tax code which was based on THEIR assessment of me earning £100K next year. (oh how I wish !). Immediately wrote back saying that I was not going to be promoted to General anytime soon and suggest that they have another guess beased on may last 6 tax codes during which I've been in the same position.

Normally, I would just glance at the notice and file it way because they've generally got it right these past 6 years, however, I'm glad that I decided to check it out purely on the basis that the code seemed to be totally diefferent to all the others.

It's a worry, but they've got until 6 Apr 10 to sort it out so that's plenty of time isn't it ? I said that's plenty of..........

SO, WHEN YOU GET YOUR TAX CODE NOTICE, GO TO NOTE 2 AND CHECK WHAT THOSE F*CKWITS IN Cardiff ASSESS WHAT YOUR EARNINGS WILL BE FOR THE NEXT FINANCIAL YEAR.

Yes, it's a mess. And it's official!!!

When you receive your tax code, you should check it. If it isn't close to 675L without good reason, then you should ring the Help line and discuss it.

Reportedly, those who are most affected are those who have changed their job in the last tax year. So, if you have recently joined or left the Army.... :D

Litotes

Originally Posted by Litotes

Yes, it's a mess. And it's official!!!

When you receive your tax code, you should check it. If it isn't close to 675L without good reason, then you should ring the Help line and discuss it.

Reportedly, those who are most affected are those who have changed their job in the last tax year. So, if you have recently joined or left the Army.... :D

Litotes

Thanks for the heads up.

Off topic for a slight comparison :-
36% of my earnings goes to the Norwegian government. How does that compare with the rest of you 1 house 1 wife and 2 kids type normal average families. I dont pay extras either like NI contributions or council tax.

SK

UK Sterling comparison - as best I remember the figures:
I can't be arsed to look them up.
earn over £6750, pay 20% tax on any income above that figure. If you go over £36,400 pay 40% on anything above £36,400.

Nat Ins only has to be paid for 30 working years of your life to reach 'Full Contributions' (State pension, health, etc), but it's illegal to stop paying it even after the 30 years are up. NI is 11% of earnings.

With what's left, you get to pay 17.5% VAT on goods and services, virtually everything.

On a bad day, you'll get to spend 39p of every pound you've earned.

Originally Posted by MadKev

UK Sterling comparison - as best I remember the figures:
I can't be arsed to look them up.
earn over £6750, pay 20% tax on any income above that figure. If you go over £36,400 pay 40% on anything above £36,400.

Nat Ins only has to be paid for 30 working years of your life to reach 'Full Contributions' (State pension, health, etc), but it's illegal to stop paying it even after the 30 years are up. NI is 11% of earnings.

With what's left, you get to pay 17.5% VAT on goods and services, virtually everything.

On a bad day, you'll get to spend 39p of every pound you've earned.

Good but simplistic!!!

Buy petrol or diesel: pay 80% tax.

Simples...

Litotes

HMRC are quite helpful on the phone, I had my tax code sorted out in no time