Tax Rebates & Refunds

Tax rebate UK – How to go about claiming a tax rebate

February 17, 2011
Posted in Tax Rebates — Written by Geoffrey

Many people in the UK end up paying to much tax. This can happen when people have more than one job or change jobs frequently. If you believe that you have overpaid your taxes, you can apply to claim your tax back.

How can you overpay tax?

There are different ways you might end up overpaying taxes. Some of the reasons include:

• Your employer has put you on the wrong tax code
• You had an emergency tax code or started a new job
• You had two or more jobs at a time
• You stopped your employment and did not get any benefits or taxable income for the remaining year
• Your status changed – from full time to self-employed or part-time working

How is your tax code assigned?

The Tax Office issues your tax code to the employer. This depends on the information you provide about your entitlement to allowances and your income. Your tax code can be found on your PAYE (Pay as You Earn) coding notice. While not everyone gets the coding notice, one can look for the tax code on their payslip or on a P45 or P60.

With help of the tax code, your employer will know the amount of tax that is to be deducted from your wages. Individuals who have many jobs or receive a pension may have more than one tax code.

Using a tax rebate calculator, you can enter the details about your income and tax deducted. This way, you will know whether you are due a tax rebate or not.

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