Tax code help

[RevRichardWayneGaryWayne]

Hi,

I wonder if someone can help me with this - my Tax code recently changed from 976L to 974LX - I've been reading through the information as best I can and it seems to me I should pay tax on an extra £20/year, so should be barely noticeable. An extra £130 has been taken in tax compared to the previous month (all other in and out goings are the same). I spoke to HR and they said I need to speak to the Tax office - I have tried but just keep going round in circles with the automated system! I understand the X means it will be reviewed again in April but would like to know where I stand before then.

My tax has gone from about £270.00 to about £400.00 - but according to the on-line calculator I should be paying closer to £500. My salary is £36,000 / year but I probably will be closer to £40,000 with overtime - about the same as last year. Also I have a fuel card and health insurance which were worth around £2000 as benefits last year.

Now I'm really not sure if I'm paying too much or too little! And a bit worried I'm going to get hit with a huge bill for a back log from the previous year.

Can anyone offer any help or advice?

Thanks in advance

I think that means the tax office think you had underpaid by a bit, and are recouping some so you don’t get stuck with a lump sum demand later on.
But you need to speak to them. I know it takes ages to stay on hold but might be worth the effort if you are worried.

Your tax code should be more like 950 with them benefits. You can go online and check the benefits they have allocated you. Do you have an online Hmrc account?

Thanks both

Seniorschoolmum - wouldn't they tell you if they were doing that? thing is trying to speak to them I couldn't even get to the point of being on hold - I was literally just going in circles with the automated system you talk to. It would ask what i wanted to speak about and I'd say "income tax" or "tax code" it would move to the next option, then what ever I said went back to asking me what i wanted to talk about!

Butterfly - yes I do have an account, only set it up a few days ago because of all this! My benefits are shown on there - I've had the same benefits for years, although they obviously have been increasing over time.