Tuesday, May 25, 2010

Which amount of tax is to be taken into account when claiming a tax rebate?

Hi,





I'm about to leave the UK and therefore I'm claiming for a tax rebate. I would like to know if the tax office will take into account my income tax + national insurance tax or only the income tax to calculate the refund?





I have received my P45 and the amount in the "tax to date" box clearly only considers my income tax, therefore I'm afraid to get less money!!





Thanks for your clarification
Which amount of tax is to be taken into account when claiming a tax rebate?
The NIC is deducted each payday, irrespective of other income for the year, and is not refundable.


You will also need form P85 to claim a tax refund, this should be sent to tax office with form P45.


When calculating your tax refund, tax office takes pay received and tax deducted into account to calculate amount overpaid.
Reply:You can only reclaim Income tax in the circumstances you indicate and that is only if you have overpaid tax. If you are leaving the UK then you may not necessarily have any further tax to pay, but if you have earned too much, then you may be unlikely to be able to reclaim any tax at all. National Insurance cannot be reclaimed.





Disclaimer:


The answers above are for guidance only and should not be acted upon without you receiving independent financial advice relevant to your circumstances. To find and IFA please go to http://www.unbiased.co.uk.



Reply:Income Tax %26amp; NI are different things in the UK. You can make a claim to your tax office using the form P85 %26amp; P45 to see if you have overpaid any Income Tax.





Trace your office at http://www.hmrc.gov.uk/local/individuals...





I don't think NI is refundable but it would do no harm to ask. Call 0845 915 4811 or +44 191 203 7010.
Reply:It will only be calculated on the tax you've paid and not the N.I. contribution, it also depends upon what tax you've paid in the current financial year and the tax code that the Inland Revenue have supplied you with.





Go to the site below and give them a call, they may be able to help you further on this matter.





Good Luck x

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