Are there any students here in the TA, i am being hit with ridiculos income tax which im pretty sure i shouldn't be paying. Does anyone know the rules for tax on the TA for students. My unit aren't much help.
To the best of my knowledge TA or whatever pay 22% as pay is classed as a second income. If you earn Â£4,600 or under as a student you can claim it back. You are not being ripped off, this is just this simplest way of doing things (for Glasgow anyway) and you can claim tax back later........... what did you join for the money?
I recall there being some form to fill in - your PSAO or Chief Clerk should have it - that stops you being taxed as you are not expecting to earn over the Persoanl Allowance. That said if you do earn more than the Allowance (Â£4601?) then you'll be taxed from that sum on for the rest of the financial year. If your PSAO doesn't know anything about this then get him to speak to the Chief Clerk at your local OTC who is guaranteed to knw which forms are needed.
It's a pain in the arrse, but I've found the best way to sort the tax thing out as a student is to wait for your P45 in April, and then go to your friendly local Inland Revenue and fill in the appropriate form.
This is better for you, particularly if (like me) you had a second job, as by paying the tax and reclaiming it... you won't get a nasty brown envelope through your door saying that you owed the IR money.
...Plus, you get a double bonus - bounty and tax rebate all at once*... Xmas all over again!! I look it as enforced savings (several hundred pounds in one lump v. a few extra coffers a month?...)
*If your unit's anything like ours, you won't get your bounty in April anyway... more like June!!! It usually takes a couple of months for the IR to give you your money back.
Go and see the pay person - there's a form to be filled in, they send it off, and your Pay Statement will change to SR (student rate) from BR (basic rate).
To reclaim the tax you've already paid, wait for your P60 and then ask your pay person for the Inland Revenue form to reclaim it with. If they don't have the forms to hand, they should be able to get them through your RAO.
Students are entitled to not pay tax up to the allowance as stated before. Best thing would be to sort it put with your PASO and sign the relevant paperwork so you don't get taxed in the first place. I got my last credit from IR about 6 months after the end of the tax year and they will do it eventually. You can speed up the process by ringing your local tax office and they will send you a form to fill in. The fact is they are not too interested in getting your cheque to you quickly as the money sits in their account getting fat instead of yours. I get taxed at 20%ish the same as most.
All individuals regardless of their age are liable to pay Income Tax if their income exceeds their personal allowance
If you only work during the three holiday periods (Christmas, Easter and Summer) and you estimate that your total income for the tax year will be less than the personal allowance, ask your employer for a form P38(S). Return the completed form to your employer to enable your wages to be paid without deduction of Income Tax.
Completion of this form is not applicable if you are working during term time (e.g. evenings or weekends).