Will my tax code have changed?

Question

I began my first part-time job in a retail store a few months ago while I was still at school. I was given the tax code 543L. However, I have now finished school and will not go to University until September 2009. I have also been working extra hours (on average 30.45 hours per week for the last five weeks). I am unsure whether these changes to my personal circumstances will affect my tax code or will the tax be deducted automatically due to the fact that I am earning more? Thanks for any help.

Answer 1

PAYE is designed to adjust according to your circumstances. There will be no change to your tax code because you are working extra hours. The tax code you have will take that into account automatically.

In September, everyone's code will go up to 603L because of the Government's climb-down on the hardship caused by the withdrawal of the 10% rate band. That is retrospective back to 6th April, and you won't pay as much tax then.

Answer 2

543L is the standard tax code, this means you can earn £5435 per year before paying tax. After this you will pay 20% tax

Answer 3

the code meaning is this,, £5430 is the amount you can earn per year and not pay tax and the  L means low,, as in the low lvl bracket as its your only/main job,

the tax is automatically deducted @22% i  belive, so if you dont work anymore till april next yr you can claim it back , the best people to talk to are the tax office, they are actually helpfull,, and with you going onto fulltime uni it might make a difference

Answer 4

543L is the basic tax code in use for most people with one job for 08/09. the tax will be deducted automatically as you earn more and the code wont change. if your circumstances change between now and april 09 you can apply to the tax office for a rebate  ie you dont work at all after september .

If you do continue to work up until april 09 - even if you lower your hours the tax will be adjusted accordingly ie the more you earn the more tax you pay, the less you earn the less tax you pay.