We have a client with in excess of £100k salaried income plus benefits, each year we put the figures through his SA Return and request an adjustment to the tax code for the upcoming year, I have never given this any thought and it may seem foolish but why doesnt the current year look like the tax has been overpaid.
Replies (5)
Please login or register to join the discussion.
If you're also putting the 'underpaid tax for earlier years included in your tax code' on the return then I don't think it would (unless I've misunderstood the question). If you're getting an underpayment every year I'd be looking at the tax code to see what HMRC aren't including. Are all the benefits accounted for in the tax code?
I doubt the tax will be exactly right due to the loss of the personal allowance, so I would be surprised if the coding was completely spot on.