Tax on TA pay

Discussion in 'Army Reserve' started by Cymru_am_Byth, Jul 14, 2006.

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  1. How do you stop tax being taken out at source? I'm student so I don't have any other employment, and so I'm earning less than the minimum taxable amount.

    I had part time jobs before I went to university, and no tax was deducted from my salary then, so how do you stop the army from doing it?
     
  2. I'm not a tax guru, but I don't think you can. I'm pretty sure that you have to pay it at standard second job rate and then claim it back at the end of the year. That's what our students are doing at any rate.

    Why don't you try PMing Forces Sweetheart or one of the OTC types? She is a bit of a finance/tax guru and they must be used to doing it.

    If you find the answer then please report it back here/create a wiki page about it/tell one of the TA wiki Ninjas so that they can create a wiki page about it. :D
     
  3. You can stop the tax being deducted, see Inland Revenue link for the info and the form to download.

    Ive done it for the past 4 years or you can of course claim it all back at the end of the year, a nice wee nest egg for that 'in-between' time from studying to first paypacket!

    Hope it helps.
     
  4. There is a form you can fill out which is a declaration that you will not earn over the basic threshold because you're a student. You will then not pay tax or NI. Ask your pay staff for it.
     
  5. This question is also being answered in the RHQ forum!

    All the replies are complimentary, what we need is the definitive chapter and verse on "what to do" from the TA angle, from someone with a SPS rank slide.

    Edited to add: Remember that it's the Army's Pay computer that's taking your money and it won't stop unless the Army tell it to!

    Sticky
     
  6. Bit academic really before i get taxed they will have to get of their backsides and pay me
     
  7. msr

    msr LE

    The PSAO should have the correct form for you to sign.

    msr
     
  8. AFAIK the IR can put the TA as your first job therefore your Tax credit 4750 or whatever will be taken into account on your pay i.e. you will not pay tax until you earn over you allowance. However and heres the Army bit, the army pay role system was never made to accept TA soldiers as any other tax code other than BR (Basic Rate) so the TA will still auto pay your tax even if you tell the IR that the ta is your only job (this is what happened to me). So the only way to get your tax credit is to clam it back at the end of the year. If someone now tells me this is not the case i'm going to have to kick some ass at both my unit and that wonderful place in glasgow as both of them told me this was the case.

    I_G
     
  9. I tried to get my tax code applied to my wages unsuccessfully, and instead just send off my P60 to the relevant tax office (Cardiff for me) with a covering letter and get a rebate via cheque about 6-8 weeks latter.
     
  10. A P38S is the required form. You can download it off the internet and send to your pay office where they should proccess it and give you a nice large lump sum as wel as from then giving you all the money with no tax.
     
  11. eegeek is correct, did this all through uni.

    You can ask your admin staff for one too, only takes 30seconds to fill in and it should arrive in your next pay packet or the one after that depending on how late in the month it is put in / admin (in)compentence etc...