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Summer Job and Tax

Discussion in 'General Discussion' started by Burt, 6 Jun 2006.

  1. Burt

    Hitman

    Joined: 30 Mar 2004

    Posts: 686

    Location: Edinburgh

    About to take up a job (hopefully) working for a bank's call center. Hours will likely be full time. I'm wondering whether or not I'm going to have to pay tax. Presumably my income for a whole year would be enough to warrant forking out to the tax man, but I'm only intending on holding onto the job until September (3 months or so). Will I get refunded the money (if I have to pay) at some point? Sorry for the naíve questions of a lazy student. :p
     
  2. Morba

    Caporegime

    Joined: 7 Mar 2003

    Posts: 28,189

    Location: Krispy Kreme drive thru

    you will pay as if it will be for the full tax year, but when you stop working at end of year you will get a tax rebate.

    iirc
     
  3. Ciba

    Hitman

    Joined: 1 Oct 2004

    Posts: 793

    Location: Windsor

    Whats the bottom tax bracket up to which you dont have to pay tax if you earn under it?
     
  4. penski

    PermaBanned

    Joined: 9 May 2005

    Posts: 20,834

    Location: NE8

    Depends on your tax code; about £5k for most if I recall correctly.

    *n
     
  5. iBankAllDay

    Mobster

    Joined: 29 Mar 2004

    Posts: 2,926

    Location: Dundee/Forfar

    Yup, personal allowance is £5,035. And what Morba said is right too!

    What bank dude?
     
  6. chippie

    Wise Guy

    Joined: 7 Dec 2003

    Posts: 1,562

    If you are normally in full time education, and this is just a holiday job, and you know that in this tax year (6 April 2006 to 5 April 2007) you will earn less than the personal allowance, which is £5035, then ask your employer for a form P38(s) to complete, then give it back to them.

    Then you won't pay tax.
     
  7. Stellios

    Capodecina

    Joined: 27 Aug 2004

    Posts: 17,023

    Location: Geordieland

    Thought it was £47XX?
     
  8. penski

    PermaBanned

    Joined: 9 May 2005

    Posts: 20,834

    Location: NE8

    That was last year; most people are on 503L or similar this year.

    *n
     
  9. chippie

    Wise Guy

    Joined: 7 Dec 2003

    Posts: 1,562

    This year 2006/07 it is £5035
    last year, 2005/06 it was £4895
    The year before, 2004/05 it was £4745
    The year before that, 2003/04 it was £4615
    etc etc etc....
     
  10. Stellios

    Capodecina

    Joined: 27 Aug 2004

    Posts: 17,023

    Location: Geordieland

    OK, i was only out by a few years :p
     
  11. Burt

    Hitman

    Joined: 30 Mar 2004

    Posts: 686

    Location: Edinburgh

    Bank of Scotland.

    And cheers for the info chaps!
     
  12. iBankAllDay

    Mobster

    Joined: 29 Mar 2004

    Posts: 2,926

    Location: Dundee/Forfar

    Welcome to HBoS then ;).
     
  13. Melm0

    Wise Guy

    Joined: 12 Jun 2005

    Posts: 2,008

    Location: Leeds

    Hey,
    I wondered if i can ask a similar question and steal your thread for a post or two?
    :p
    I got my first ever payslip (n00b) about a week ago and for the month i worked, i got £305.52. I only work Saturday & Sunday just to raise some extra cash for my trip to Peru next year. However, i also had £68.30 deducted from the £305.52 ( :( need all the cash i can get! Rawr give me it back!)
    Now if i earn around about the same amount each month, in a year i should get about £3666.24...

    So if i earn less than that "personal allowance" and i'm still in full-time education, should i get taxed on anything?

    I'm guessing there is a form i have to fill in but have no idea what it is called.

    Grateful for any help

    Ta Mel :)
     
  14. Sequoia

    Wise Guy

    Joined: 15 Aug 2005

    Posts: 2,948

    Being in full-time education isn't the issue: if you earn over your allowances, you pay tax.

    However, unless your employer is given your tax code when (or before) you start work, they'll assume (and are required to do so) that you don't have any available allowances. If that happens, you'll get taxed on ALL your pay. But even on that basis, you should only be paying about £45/month, so that £68.30 looks rather high. I'd query that if I were you, and ensure you get your tax code to your employer (and get one from the Revenue if you haven't got it).

    Once that code goes into the system, it should stop you getting taxed any more, and you should get what youy've already paid back, either via PAYE refund or by directly claiming it at year-end.
     
  15. benjo plz.

    Capodecina

    Joined: 15 Jan 2004

    Posts: 14,208

    Location: Hall

    P45 I believe. ;)
     
  16. Guv

    Mobster

    Joined: 24 Oct 2002

    Posts: 3,259

    Location: Warwickshire

    Chippie was right, it's a P38

    I filled them in when working when I was back from uni for the summer last year and the year before. By filling one of those in I didn't get taxed while working.
    You still have to expect to be under the personal allowance during the tax year to be able to use one of these forms.
     
  17. benjo plz.

    Capodecina

    Joined: 15 Jan 2004

    Posts: 14,208

    Location: Hall

    Maybe. I got taxed and needed a P45 to get it back :o.
     
  18. Guv

    Mobster

    Joined: 24 Oct 2002

    Posts: 3,259

    Location: Warwickshire

    A P45 is what you get when you leave your employer. It shows a record of your pay and the amount of tax deducted as well as other info like tax code.

    A P38 is entirely different, it's just used so students do not get taxed at all while working, assuming it's just a temporary summer job not exceeding the personal allowance.
     
  19. Messiah Khan

    Capodecina

    Joined: 1 Sep 2005

    Posts: 10,000

    Location: Scottish Highlands


    It will be that high, as Melm0 will be on an emergency tax code, which is stupidly high.
     
  20. Rich1988

    Soldato

    Joined: 8 Jan 2005

    Posts: 6,363

    Location: wiltshire

    melmo your 16 right?, im 17 also in full time education work at waitrose and I dont get taxed at all :confused: last payslip only had -5.44 bank holiday compensation (what *** hells bank holiday compensation)