Am I entitled to a Tax rebate for 2014?

[Rose Fuller]

Hi - I paid PAYE tax from April 2013 until end of Nov 2013. Would I be entitled to a tax rebate as I didn't work for 12 months, but presumably paid based on the expectation that I would work for 12 months?

 

Thanks!

 

Rose.

[Notts]

Yes, you probably are due a rebate. There is a form to tell HMRC you have left the country - I can't remember the number. When you send it in you can request a rebate.

[Alan Collett]

http://www.gmtax.com.au/wp-contentSDSD/plugins/download-monitor/download.php?id=8

 

Might be of interest ... re form P85.

 

Best regards.

[Rose Fuller]

Thanks guys - I will look into it )

[Guest Guest98336]

Thanks guys - I will look into it )

 

How have you got on with this, Rose?

 

I'll have paid PAYE from April '14 until August '14, when I leave for Sydney. I am struggling to find anything to help me work out how much tax I should pay for a partial year, before I leave. I have been paying tax at a rate that assumes I'll earn in the UK for all of 14/15.

 

I know I will have to complete a P85 form for HMRC to advise them that I'm leaving, and they'll calculate any tax rebate due to me, but I'd like to work that out for myself.

 

I'd like to understand if it's as simple as working out how much tax I should have paid on my gross earning by the time I leave, and the rebate is then just the difference between that and what I have actually paid..? (That would be too good to be true...)

 

Steven :-)

[Gbye grey sky]

How have you got on with this, Rose?

 

I'll have paid PAYE from April '14 until August '14, when I leave for Sydney. I am struggling to find anything to help me work out how much tax I should pay for a partial year, before I leave. I have been paying tax at a rate that assumes I'll earn in the UK for all of 14/15.

 

I know I will have to complete a P85 form for HMRC to advise them that I'm leaving, and they'll calculate any tax rebate due to me, but I'd like to work that out for myself.

 

I'd like to understand if it's as simple as working out how much tax I should have paid on my gross earning by the time I leave, and the rebate is then just the difference between that and what I have actually paid..? (That would be too good to be true...)

 

Steven :-)

 

The simplest way is to take the gross amount you were paid, deduct the tax free element indicated by your tax code. This gives you total taxable pay. Calculate tax at the appropriate rate on that. If only 4 months likely to be all at basic rate. Take that away from the tax you had deducted and you have your overpayment. Not sure if you can actually claim it back though until after April 2015 as it cannot be taken as a given that you will not return and be liable to tax in this tax year.

[Guest Guest98336]

The simplest way is to take the gross amount you were paid, deduct the tax free element indicated by your tax code. This gives you total taxable pay. Calculate tax at the appropriate rate on that. If only 4 months likely to be all at basic rate. Take that away from the tax you had deducted and you have your overpayment. Not sure if you can actually claim it back though until after April 2015 as it cannot be taken as a given that you will not return and be liable to tax in this tax year.

 

Thanks for this - I think we're saying effectively the same thing. But...

 

If the situation was different, where I was staying in the UK, but stopped earning (e.g. lost my job), then yes definitely, as the year progresses and I earn more PAYE allowance, then as this tax allowance accrues I would receive monthly tax rebates.

 

Because I'm not just stopping work, but leaving the UK,my question is really this - Am I really entitled to a year's worth of tax allowance, even though I was only here for 4-5 months of it?

[Gbye grey sky]

Thanks for this - I think we're saying effectively the same thing. But...

 

If the situation was different, where I was staying in the UK, but stopped earning (e.g. lost my job), then yes definitely, as the year progresses and I earn more PAYE allowance, then as this tax allowance accrues I would receive monthly tax rebates.

 

Because I'm not just stopping work, but leaving the UK,my question is really this - Am I really entitled to a year's worth of tax allowance, even though I was only here for 4-5 months of it?

 

Yes. The allowance is against all your earnings liable to UK tax in 2014/15, there is no apportionment according to your tax residency status. Some may still have other UK taxable income. Others may spend a higher proportion of the year in UK and therefore worldwide earnings may become liable to UK tax too. Not in your case or mine next year as I anticipate being in the same position 12 months from now. Emigrating now represents good tax planning really.

[Guest Guest98336]

@Gbye Thanks again - I am hoping this does indeed turn out to be the case, as I have paid quite a lot of tax so far :-)

 

And yes, I will have a one-off employer bonus payment later in the year, so further income, so I 'get' the need to have an ability to pay tax for the whole of the year ('arising basis')...

[Guest Guest98336]

HMRC confirm entitled to the full year's allowance...