Tax Rebates & Refunds

Working as a student in the UK? Get to know about tax refunds

June 22, 2011
Posted in Tax Rebates — Written by Geoffrey

While not many individuals know, students working in the UK may also be entitled to a tax refund from the HMRC. Most times, tax overpayment happens if the employer fails to consider the fact that students earn less than the present tax free allowance.

Anyone earning more than £6,475 as a tax free allowance is expected to pay tax. However, being a student, it is less likely that you will earn above the tax free allowance. If you have been working in the UK as a student, you can surely claim for a student tax exemption. Moreover, if your employer has deducted tax from your salary, you become eligible to claim tax back.

How to determine tax overpayment

To find out whether or not tax has been deducted from your wages, it is wise to take a look at your pay slips. In case tax has been deducted, check your gross pay to see if the amount is above the tax free allowance at the end of the financial year. Even if you have earned above the tax free allowance, you could still be able to claim for a tax refund.

To check the amount of the tax refund you can get, it is recommended to use a tax rebate calculator. After you quit your job, your employer will provide you with a P60/P45. This document contains information about your earnings and taxes paid. Simply by entering these values into a tax refund calculator, you can know the tax refund amount you are eligible to get.

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