Taxing!

[redsimon]

PM'd you about getting this reduced, hope it helps. Would never ring them because you take pot luck on a. getting through and b. getting someone there who understands Self Assesment.

[snoopy1239]

Managed to find a breakdown on the HMRC website. They've charged me 20% on tax, but the student loan is where the problem lies as they're requested 25% on my self-employed earnings. I don't think they're asking for anything on account, although could be wrong. Ugh.

[DaveShoelace]

Income Tax (PAYE) 20%

Student Loan 9%

Class IV NIC 9% (on self employment profits over £7605)

As well as this you will be asked to pay 1/2 of your future years tax, student loans and NIC on s/e on account for next tax year.

This could get it close to 45%?

It's possible they've done this, which would be a mistake as I haven't done any self-employed work since the 2011, and didn't have to pay on account last January. Am beginning to wish I'd not even told them about this extra work now as I doubt they would have noticed.

Thanks for the help. HMRC support is super tilting. Takes ages to get through to morons at premium rate. Already cost me a tenner.

Just ring BabeStation up, same experience.

FYI I had a not too dissimilar experience and got no resolution, so I just submitted my tax returns as normal and eventually the necessary changes just happened. It took about 3 years to happen, but eventually I got a letter saying "you owe us £500 for student loans from three years ago which we are now taking".

[kinboshi]

Is that tenner tax-deductable as an expense?

[snoopy1239]

Managed to find out the answer. Apparently there was some kind of mysterious shortfall in the amount of student loan I paid in the last business year under PAYE and as soon as I filled out a self-assessment form for self-employed work, they charged me for that shortfall. Why a shortfall occurred and how it required four phone calls, a tub of vasleine and a crowbar to prise out the answer, I'm not sure, but I got there in the end. Thanks to anyone who posted or pm-ed advice.

[outragous76]

It's this simple with hmrc, and I rue not having done it sooner, have an accountant

I have been in dispute with hmrc for 8 years. Last year was the straw that broke the camels back, when they told me I was going to court if I didn't pay "an assumed" £800, when the figure due could have been no more than £0.

My accountant is currently discussing a 5 figure rebate, they have gone eerily silent!

If they think you are a chump, I'm convinced you get flagged as the bloke to target!

Roll on the day mine gets settled! Currently 9 months without a coherent response!