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Searcher
New Member
60 Posts |
 Posted - 19 September 2010 : 14:25:44
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I'm still struggling to understand the NT tax code business and how it will affect me.
Our interview with the OR went well, and we were told that they wouldn't be asking us to enter into an IPA/IPO. I have now received a notification from HMRC that my tax code has changed to NT for the this year (I receive an occupational pension each month), which I presume will mean that all the tax I have paid this year will be refunded either this month or next. By the end of the tax year, this "extra" amount will have built up to quite a tidy sum and I am concerned as to what I am supposed to do (if anything).
The OR says they are not going to go for an IPA/IPO but the Insolvency website says this:-
"Where the nil tax code is expected to be applied before the end of the tax year an IPA/IPO should be obtained. Where the bankrupt has signed the form TNIDIS, an IPA should be sought in preference to an IPO, to claim the extra money that the debtor receives."
There is no mention or hint in the letter from HMRC that this change of tax code might result in me being asked to surrender the "extra" amount, nor have we been given any notice or caution about this from the OR. |
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RHB
Senior Member
1159 Posts |
Posted - 19 September 2010 : 16:13:13
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| Well the extra amount will be collected so keep it to one side & don't spend it!!! |
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Searcher
New Member
60 Posts |
Posted - 19 September 2010 : 16:25:31
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quote:
Originally posted by RHB
Well the extra amount will be collected so keep it to one side & don't spend it!!!
OK - but can you tell me who will collect it and how, and generally speaking how long does it take to implement this, please? |
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nepensioner
Starting Member
18 Posts |
Posted - 19 September 2010 : 16:44:06
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Hi
My understanding is that you will not pay any more tax in this tax year NT being no tax and any tax already paid will be returned directly to your OR |
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debtinfo
forum expert
2826 Posts |
Posted - 19 September 2010 : 16:59:25
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| how much tax do you normally pay searcher |
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Bigal4787
forum expert
United Kingdom
641 Posts |
Posted - 20 September 2010 : 09:55:17
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Searcher,
even though you don't have sufficient surplus income to enter into an IPA, you should still have been asked to sign an NTIPA, so that the OR could instruct their agents to put an arrangement in place to collect any tax that you would have paid up to March next year( that's what the extract you included means)
The TNIDIS means : TAX &NI DISCLOSURE, which you would have signed when interviewed, if you didn't sign an NTIPA ask about it, unless the amount of tax you pay is so small, that the cost of collecting it, would outweigh the benefits, hope this helps.
Previously an examiner until July 2010 with the insolvency service(cost cutting!)
Big Al |
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Bigal4787
forum expert
United Kingdom
641 Posts |
Posted - 20 September 2010 : 09:58:38
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Searcher,
even though you don't have sufficient surplus income to enter into an IPA, you should still have been asked to sign an NTIPA, so that the OR could instruct their agents to put an arrangement in place to collect any tax that you would have paid up to March next year( that's what the extract you included means)
The TNIDIS means : TAX &NI DISCLOSURE, which you would have signed when interviewed, if you didn't sign an NTIPA ask about it, unless the amount of tax you pay is so small, that the cost of collecting it, would outweigh the benefits, hope this helps.
Previously an examiner until July 2010 with the insolvency service(cost cutting!)
Big Al |
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Topic |
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Confusion over NT tax code
