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Inland Revenue Given a BR Tax Code...Why?

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    The KenzThe Kenz Posts: 1,570
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    platelet wrote: »
    In short no. Your health benefits will effect your code because they're taxable - but it shouldn't mean you go to a BR code

    unless your benefits cover you for having a couple of Thai girls walk naked up and down your spine every time you have back ache and you're using this on a daily basis, I can't see it using up your allowance .

    more likely you're one of the many they've c***ed up.

    call them.

    I think we need to know which employer offers this service, so that we can apply for a job there!:D:o:D
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    mattwoodfieldmattwoodfield Posts: 6,036
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    I rang last week, and they told me that because I was claiming JSA back in August, they were treating it as a second income, on top of my salary which I have been earning since September!!! The problem has been rectified now.

    I am also owed some tax back too.... The guy told me he is passing it on to the investigation team to be investigated.... anyone know how long this process can take?
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    [Deleted User][Deleted User] Posts: 675
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    I rang last week, and they told me that because I was claiming JSA back in August, they were treating it as a second income, on top of my salary which I have been earning since September!!! The problem has been rectified now.

    I am also owed some tax back too.... The guy told me he is passing it on to the investigation team to be investigated.... anyone know how long this process can take?

    My OH rang them just under two weeks ago about the BR tax code and they told him the same and he got a cheque for the rebate yesterday.
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    [Deleted User][Deleted User] Posts: 6,741
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    I got 2 tax code notifications last week. One was for Incapacity Benefit and the other was for a job I left in 2005! Go figure.
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    Miss C. DeVilleMiss C. DeVille Posts: 6,058
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    I'm on JSA and have been for just over a year - I've just had a BR tax code come through.

    I phoned them and they told me that it is wrong and that they will send me the right code, 647L, shortly.

    So if you're on JSA get it sorted out or they'll stop you tax at 20%.
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    cahcah Posts: 24,689
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    My husband has been on incapacity benefit for a couple of years now and has just been sent the BR Tax code only to be told when i rang to query it that this was the wrong code and they would change it back to the correct one of 647L straight away and inform the benefit department of the correct code
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    matrixladmatrixlad Posts: 580
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    Of course they would

    I think JSA is probably taxable - but if thats all you are getting then you wont pay tax - but if you start a job, then you wil lneed a P45 from DOE to cover the JSA you got. (I think)

    Until you give an employer a P45, they have to use a BR tax code - that way you pay standard rate tax on everything, and there is no likelihood you could be underpaying tax.

    Wrong. Completely!, as long as p46 given in place of p45 then BR wouldnt be used. Standard Code used on a week 1/month basis(unless no work/ taxable benefit claimed etc in tax, then standard accumlative code used)


    Many years ago ,the I Rev would sort all this out for you - but gradually all tax went to self-certification - and now its your own duty to submit a tax return and pay tax, if you owe it - and claim a refund if you are entitled to it.

    If your a standard joe blogs on PAYE, HMRC will do this all for you. "all tax certainly hasnt gone over to "self certification". Where did you get this rubbish from?

    What utter tripe, if your going to give out information/advice at least get it correct. I suggest you go away and when your reply to something else you have a good think about what your saying as next time it could have more serious consequences if your wrong....
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    BatPieBatPie Posts: 656
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    I'm on JSA and have been for just over a year - I've just had a BR tax code come through.

    I phoned them and they told me that it is wrong and that they will send me the right code, 647L, shortly.

    So if you're on JSA get it sorted out or they'll stop you tax at 20%.

    Im in the same situation. I just phoned and was told that the tax code doesnt matter while im on JSA and no money will come off it and that my code will be changed when i go back to work.

    Dunno if thats right, seems weird theyre telling people different things :confused:
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    matrixladmatrixlad Posts: 580
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    BatPie wrote: »
    Im in the same situation. I just phoned and was told that the tax code doesnt matter while im on JSA and no money will come off it and that my code will be changed when i go back to work.

    Dunno if thats right, seems weird theyre telling people different things :confused:


    They are wrong and right, While your on it doesnt matter but when you come of and you give a p45 with the wrong code (i.e week one based code) and your paid weekly it can make a difference to how much you initially paid while they sort it out(depending on how much you already earned in the tax year)

    What you could do is insist it gets changed in preperation for your new job (hopefully). This will then benefit for you should you find work this tax year
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    cambs1965cambs1965 Posts: 745
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    Listen to Radio 4 Money Box live, for some mad reason the Revenue are using a new system but didn't bother to transfer data over properly. Sadly you can't fine them £100.
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    PorcupinePorcupine Posts: 25,253
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    Im another who was sent the wrong tax code.

    I was sent one with a BR code, and my accountant was sent one with the normal L code.

    I called them to query it, and BR one was incorrect. They told me is 'was a typo' :rolleyes:
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    [Deleted User][Deleted User] Posts: 6,741
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    Just rang HMRC and after being cut off got through to a pleasent Scottish lady. I explained I only receive IB and she said a new notice would be sent out to me. Simples!
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    GageGage Posts: 1,253
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    I was given this code aswell, I was working part time during 2008 while in uni, but stopped going just after october 2008, then on april 2009 I got my p60 from the company I had worked for (left it aside) and hadn't work since, fast forward to 2010 and now I am getting a BR code even though it doesn't affect me now I am just curious when I start work.
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    Miss C. DeVilleMiss C. DeVille Posts: 6,058
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    BatPie wrote: »
    Im in the same situation. I just phoned and was told that the tax code doesnt matter while im on JSA and no money will come off it and that my code will be changed when i go back to work.

    Dunno if thats right, seems weird theyre telling people different things :confused:

    I want my tax code changed now because the letter clearly stated - " We have asked Jobseekers Allowance to use code BR for this year, which means you will pay tax at 20% on your Jobseekers Allowance income."

    As Jobseekers Allowance is all I get I can't afford them getting it wrong as it would mean a £12.86 deduction each week.
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    [Deleted User][Deleted User] Posts: 6,741
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    Although JSA is a taxable income no tax is taken off it
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    [Deleted User][Deleted User] Posts: 380
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    add-ons wrote: »
    My o/h was also sent a wildly incorrect tax code, and they assumed his salary had increased by 25% and changed his tax code accordingly:eek:

    There have been many, many colleagues in the same situation.

    I wonder how much money the Inland Revenue are making from what would appear to be thousands and thousands of people ringing a premium telephone number to correct the problem:rolleyes:

    The level of your Salary has no effect on your tax code
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    [Deleted User][Deleted User] Posts: 4,890
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    Of course they would

    I think JSA is probably taxable - but if thats all you are getting then you wont pay tax - but if you start a job, then you wil lneed a P45 from DOE to cover the JSA you got. (I think)

    Until you give an employer a P45, they have to use a BR tax code - that way you pay standard rate tax on everything, and there is no likelihood you could be underpaying tax.


    Many years ago ,the I Rev would sort all this out for you - but gradually all tax went to self-certification - and now its your own duty to submit a tax return and pay tax, if you owe it - and claim a refund if you are entitled to it.

    The amount of innacuracies in this thread are staggering! Fair enough though as most of you won't work in the industry.

    The point about the refund, not true, the new system will automatically look at the tax year when it finishes. You'll get a refund if you're entitled to one.

    An employer SHOULD NOT use BR if you do not give them a P45. They should hand you a P46 and depending on what box you tick should then put you on whatever tax code is appropriate, 647L/wk1 or BR.
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    [Deleted User][Deleted User] Posts: 4,890
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    willandy wrote: »
    The level of your Salary has no effect on your tax code

    Yes it does, if you earn over (roughly) £112, 000 you are entitled to no personal allowances, for example. Also if you are a higher rate taxpayer you may find your tax code is lower so you can pay tax due on your dividends and interest.
    PDJames wrote: »
    Although JSA is a taxable income no tax is taken off it

    Correct, the BR tax codes never go out to the Job Centre.
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    matrixladmatrixlad Posts: 580
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    *MikeB* wrote: »
    The amount of innacuracies in this thread are staggering! Fair enough though as most of you won't work in the industry.

    The point about the refund, not true, the new system will automatically look at the tax year when it finishes. You'll get a refund if you're entitled to one.

    An employer SHOULD NOT use BR if you do not give them a P45. They should hand you a P46 and depending on what box you tick should then put you on whatever tax code is appropriate, 647L/wk1 or BR.

    Shocking how people can give out such rubbish info
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    gemma-the-huskygemma-the-husky Posts: 18,116
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    matrixlad wrote: »
    What utter tripe, if your going to give out information/advice at least get it correct. I suggest you go away and when your reply to something else you have a good think about what your saying as next time it could have more serious consequences if your wrong....


    very kind of you to point out my mistakes so sensitively

    yes you are right - It occurred to me that employers would apply BR code, but on reflection, it would be a standard code, week 1 basis.

    I also thought that taxpayers had to claim any refunds etc, but I expect you are right - they will come back eventually. I still think if someone wants to sort a problem out rather than waiting they should be proactive.
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