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Contribution-based ESA is taxable
- natdo
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4 years 6 months ago #252304 by natdo
Contribution-based ESA is taxable was created by natdo
Hi
I have a question. HMRC says I underpaid tax. HMRC combined all my income (wage and ESA) into a single figure and took 20% income tax for the 2019/20 tax year. I was dismissed in January 2020 and not working now. How much tax I have to pay if I received only Contribution-based ESA? Should I get a new tax code?
Thank you for your advice.
I have a question. HMRC says I underpaid tax. HMRC combined all my income (wage and ESA) into a single figure and took 20% income tax for the 2019/20 tax year. I was dismissed in January 2020 and not working now. How much tax I have to pay if I received only Contribution-based ESA? Should I get a new tax code?
Thank you for your advice.
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- Gordon
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4 years 6 months ago #252334 by Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gordon on topic Contribution-based ESA is taxable
Nata
We cannot advise on your tax but I can provide you with some information.
Your Contribution Based ESA is liable to tax but that does not mean that you will pay any, you have a Personal Allowance and you will only pay tax if your total income, ESA(CB) and other income exceed your PA.
If you have no other income and do not expect to exceed your PA then you can ask HMRC to remove the requirement for you to submit Tax Returns.
Gordon
We cannot advise on your tax but I can provide you with some information.
Your Contribution Based ESA is liable to tax but that does not mean that you will pay any, you have a Personal Allowance and you will only pay tax if your total income, ESA(CB) and other income exceed your PA.
If you have no other income and do not expect to exceed your PA then you can ask HMRC to remove the requirement for you to submit Tax Returns.
Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
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- Gary
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4 years 6 months ago #252355 by Gary
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gary on topic Contribution-based ESA is taxable
Hi nata
If you need any help with tax issues, contact Tax Aid: taxaid.org.uk/pages/taxaid-helpline
TaxAid’s Helpline 0345 120 3779 (Mon-Fri between 9am and 5pm)
Gary
If you need any help with tax issues, contact Tax Aid: taxaid.org.uk/pages/taxaid-helpline
TaxAid’s Helpline 0345 120 3779 (Mon-Fri between 9am and 5pm)
Gary
Nothing on this board constitutes legal advice - always consult a professional about specific problems
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