2006-08-02 20:58:50 · 8 answers · asked by kafoor73 1 in Politics & Government ➔ Government
It depends on several things. One could be the type of contract. When I was working in the UK I paid higher taxes at the beginning but then, when I was working full-time on a permanent basis it went down a lot. Check with your employer. Also you can claim them back.....if you are paying too much now.
2006-08-02 21:09:34 · answer #1 · answered by Blue Blue Blue 6 · 0⤊ 0⤋
In the UK, tax is collected by your employer as you earn, but this is really just a sophisticated method of advance payment of taxes - the tax agency only properly calculates how much tax you really owe after the end of the tax year (5th April). In the meantime, they use the tax code to tell your employer how much tax to collect, in the hope that this will end up being the same as the "real" amount calculated at the end of the year.
If you are a new employee, employers will use what's called an "emergency tax code" which basically means they will collect as much tax as possible. Since this will generally end up in you paying too much tax, then you would receive money back from the government when they do the final calculation next year.
Even if you have a final tax code, rather than an emergency one, these can be different depending on when in the year the tax code is issued - for example if you only start working in October, then you will not make as much money during the tax year as if you start in May, so you will not owe as much tax.
Finally, the tax code takes into account tax allowances which you have, which may be different between individuals even if they are doing exactly the same job for the same pay. For example if your colleage has a family and you don't this may make a difference.
2006-08-03 04:23:00 · answer #2 · answered by Graham I 6 · 0⤊ 0⤋
Your tax code depends on your particular circumstances and is assessed and allocated by the Tax Office. Also if you did not give your employer a P45 when you started with the firm they have to tax you on a week 1 basis (i.e. you are taxed on everything you earn and have no tax free allowance). This cannot be altered until the Tax Office gives them a code for you.
2006-08-03 04:13:18 · answer #3 · answered by Anonymous · 0⤊ 0⤋
did you hand in your P45 to your employer? Do you have your national insurance no yet? If not you may be on emergency tax this will be the reason why you have a different tax code. You will be paying more tax. you will get the money back when you hand in your P45 or give your NI number.
also...
You may be on a different wage to them, this will put you in a different tax bracket.
2006-08-03 04:07:00 · answer #4 · answered by MissBehave 5 · 0⤊ 0⤋
most people have 503 as a tax code, (which means that the first £5035 you earn are taxed free)but if you are 60 or over it will be highr, the married allowance has been scrapped now and even if you are marrie dyou pay the same amount of tax as a single person.
2006-08-03 05:38:17 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Your tax code relates to how much you earn, and it is higher/lower if you are claiming tax credits. And I think one half of a married couple can or could claim a tax deduction.
2006-08-03 04:09:24 · answer #6 · answered by k 7 · 0⤊ 0⤋
it could be a marital situation or to do with your NI. IF you are both in the same situation then your code has been worked out incorrectly in which case you must report it to the tax man.
Here is a link for you to check and amend, you could also check with your accounts department.
http://www.hmrc.gov.uk/leaflets/p3.htm#d
2006-08-03 04:12:45 · answer #7 · answered by Chrissi 2 · 0⤊ 0⤋
until you are established in this country
2006-08-03 06:59:17 · answer #8 · answered by Anonymous · 0⤊ 0⤋