My tax code was recently K62. It is now K14 but my allowance has not changed. Can anyone explain this?
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272Swarbs postedThe K code indicates that the taxable value of the benefits you received in the last tax year is more than your personal allowance for the current year. So it effectively means that your benefits take up all your personal allowance and you owe some tax on top. If it has reduced this year, it probably means that your total benefits (including state pension) reduced in the last tax year by around £480. Does that make sense?
Posted on 12 February 2010 |
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824MikeGG1 posted
Maggie
Your Notice of Coding should give a breakdown of how they arrived at those codes.
Compare the 2 notices and you should see which parts have changed. Are those changes correct? If you still can't understand the changes, let us know what bits have changed and we may be able to help. There are too many variables at the moment.
If your new coding is for 2010/11 and the previous one was for 2009/10, the difference could relate to unpaid tax from a previous year. That would change with a new tax year. Tax allowances will not change because the RPI index did not increase between Sept 2008 and Sept 2009.
You should always compare your notices as a matter of course because they sometimes get things wrong and the sooner you get it corrected the better.
This year they seem to have made more errors than usual.
Mike
Posted on 12 February 2010 | Love 0 loves
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