Tax Codes

Discussion in 'Army Pay, Claims & JPA' started by zubrzycki, Jan 8, 2009.

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  1. I am going through a few people's pay statements trying to be all geeky and i have stumbled accross this:

    "The emergency tax code is set each year and is a number followed by the letter L. The number is the basic Personal Allowance (£6,035 for the tax 2008-09) divided by 10. The emergency code for 2008-09 is therefore 603L."

    Now then.. every person i have checked so far is on this tax code, am i reading this wrong or are there a few people owed some dollar?
  2. dont really know, but if the way they handle our pensions is anything to go by - then Yes!
  3. i am going to need some tax wizzards to answer this
  4. Im so glad to see that people still check our pay statements! I was told that with JPA this did not happen anymore :D

    Interesting point, i have just checked my code and seen prior to Sep it was 543L, then it became 603L. I have concluded that this must have something to do with the 10p tax fiasco in Sep. (most people are on the same tax code unless they are self assessment anyway)

    I do hope we will are entitled to a refund, but seeing as the 'new' P60s is not as good as it used to be, its going to be difficult to see what can be claimed back (Also remember that if your tax code is wrong, then you may owe money to the tax man!)

    A relative who works for HMRC and is unable to see any of my Army pay statements (can see P60s), so you need to ring our tax office in cardiff (02920325080) to answer any detailed questions.

    PS Remember that the Army is teated differently (9.4% not 11%) for NI which is just another tax now thanks to the lift in its cap! and that normal tax offices do not no which of our allowances are tax/NI free so they cant help much.
  5. extremely helpful, thank you
  6. Sixty

    Sixty LE Moderator Book Reviewer
    1. ARRSE Cyclists and Triathletes

    Yes. The majority of people were on 543L from April (522L last year) and changed to 603L in Sept due to the 10p tax debacle.

    It just relates to your basic personal allowance - i.e. deduct £6035.00 from your annual salary amount and tax the difference at 20% and then divide by twelve to get your monthly tax figure.
  7. Including people who had elected to be on BR or D codes to stop them getting annoying tax bills every January!
  8. If they have "elected to be on .... codes etc", then they won't be taxed at 603L will they?

    603L is for a bog-standard taxpayer without any additional income or reliefs. Start messing around and both the number and the letter change!

  9. The suffix "L" is used at the end of tax codes for those eligible for the basic Personal Allowance - it is also used for 'emergency' tax codes (read more in the section 'If you're on an emergency tax code') - straight from the horses mouth. To check your tax (if a basic rate payer) take your code substitute a 5 for the L so standard is 6035, this denotes how much you can earn before paying tax, divide this figure by 12 i.e. 502.92, deduct this from monthly income then multiply by 20%:

    Month pay £2000
    Less Free pay £ 502.92
    Taxable £1497.08

    Tax payable - £1497.08 x20% = £299.42