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avrilm1
Junior Member
173 Posts |
 Posted - 29 August 2008 : 22:07:00
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| I believe tax relief goes to NIl if you declare bankruptcy. How lond does it stay at NIL |
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Needafriend
Junior Member
United Kingdom
344 Posts |
Posted - 29 August 2008 : 22:46:23
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Hi and welcome,
It starts just after BR takes a couple of months for the OR to get it set up with the tax office, then it lasts till the end of the financial year.
I read somewhere that if your BR is done between Dec and March then the chances are you wont get a nil tax code as it takes a while to set up and then it wont really be worth doing it.
I also beleive that it is only till the end of the tax year that you are in then it resorts back for the following tax year. I think this part is right but if not one of the other experts will be able to answer that for me.
If you do get a nil tax code then you must keep the extra to one side to give to the OR when asked.
I hope this helped a bit.
Thanks again
JO |
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JulianDonnelly
Junior Member
United Kingdom
325 Posts |
Posted - 30 August 2008 : 14:10:55
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Absolutely right Jo!
Julian Donnelly
Spokesperson for www.Bankruptcyhelp.org.uk
Don't forget the helpline on 0800 078 9367 |
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Needafriend
Junior Member
United Kingdom
344 Posts |
Posted - 30 August 2008 : 14:32:34
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Thanks Julian,
I aim to please. :)
Jo
"There is light at the end of the tunnel, if you cant find it get a brighter torch"
You can read my blog here:
http://debtfreejo.blogs.bankruptcyhelp.org.uk/ |
Edited by - Needafriend on 30 August 2008 14:32:48 |
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avrilm1
Junior Member
173 Posts |
Posted - 30 August 2008 : 21:19:21
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Hello,
Sorry I am struggling to understand my head feels like it is full of cotton wool I can't think straight.
If the tax code is nil doesn't it mean I won't be paid as much salary? 
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BankruptC
Senior Member
1030 Posts |
Posted - 30 August 2008 : 21:32:45
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Hi. No, it means you won't be paying tax so the money you would usually pay in tax comes to you instead. As Jo said though, that money will be collected from you, so you should keep it to one side ready to make the payment when it's asked for.
CG. x |
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avrilm1
Junior Member
173 Posts |
Posted - 30 August 2008 : 21:44:04
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Thank you for that - perhaps youcan clear up a couple more questions? Is there a usual length of time people normally wait from deciding to go BR to actually doing it or is this dependent on whether there is a waiting time at the courts. Been suggested I apply for legal aid to pay the legal fess can this be done
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Needafriend
Junior Member
United Kingdom
344 Posts |
Posted - 31 August 2008 : 10:57:09
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Hi it is all different in the timescales people have in deciding and then going BR.
It is usually a case of struggling and juggling for years then reality hits then you have no choice. That was my case but its is so different for all of us.
My one from the moment of thinking of it to doing it was about 10 weeks as i had to sort out the form, get the appt and get the monies together to pay the court fees.
Some wait longer some shorter, when thinking of a timescale its all different and down to the individual case alone.
You could say be in a failing IVA and in which case you may want to file sooner but cant as your waiting for a failure letter or certificate. It could be that saving the money is harder for the fees or that you want to move into rented and get that sorted first. Each case is so different so really there is not a real timescale.
Jo
"There is light at the end of the tunnel, if you cant find it get a brighter torch"
You can read my blog here:
http://debtfreejo.blogs.bankruptcyhelp.org.uk/ |
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avrilm1
Junior Member
173 Posts |
Posted - 31 August 2008 : 12:02:14
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Do you know if I could claim the court fees on legal aid?? According to the calculator for legal aid i would be eligible if it can be used for this?
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Needafriend
Junior Member
United Kingdom
344 Posts |
Posted - 31 August 2008 : 14:09:30
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Hi Avril,
Im not sure, maybe John or one of the other members can answer that one for you.
Good luck and keep on posting.
JO
"There is light at the end of the tunnel, if you cant find it get a brighter torch"
You can read my blog here:
http://debtfreejo.blogs.bankruptcyhelp.org.uk/ |
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John
New Member
United Kingdom
73 Posts |
Posted - 31 August 2008 : 19:07:09
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Hi
I'm afraid you can't use legal aid but if you are on income support your fees are deuced from £495 to £350.
www.Bankruptcyhelp.org.uk
0800 078 9367 |
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Topic |
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I believe tax relief goes to NIl
