How to Know How Much Tax You Have Paid?
- MAZ
- Jul 14
- 19 min read
Updated: Sep 7
The Audio Summary of the Key Points of the Article:
Getting Started with Your Tax Records in the UK
So, you’re wondering how much tax you’ve shelled out this year, or maybe even last year? Whether you’re a regular employee, a self-employed freelancer, or a business owner juggling multiple income streams, knowing exactly how much tax you’ve paid is critical for keeping your finances in check. In the UK, tax is primarily managed through the Pay As You Earn (PAYE) system for employees or Self Assessment for the self-employed. This section will walk you through the essentials—where to find your tax records, what documents to look for, and the latest tax rules for the 2025/26 tax year. Let’s dive in.
Why Should You Care About Tracking Your Tax Payments?
Let’s be honest, taxes aren’t exactly thrilling, but keeping tabs on what you’ve paid can save you from nasty surprises—like an unexpected tax bill—or even land you a refund. In the 2024/25 tax year, HMRC collected a whopping £857.8 billion in taxes, with Income Tax, Capital Gains Tax, and National Insurance Contributions (NICs) making up 57% of that haul. That’s a lot of cash flowing to the taxman, and you’ll want to ensure your slice of it is accurate. Checking your tax payments helps you confirm your tax code is correct, spot overpayments, and plan for future liabilities, especially if you’re a business owner with complex income sources.
Where Can You Find Your Tax Payment Records?
Now, if you’re scratching your head wondering where to start, the good news is that HMRC makes it relatively straightforward to check your tax contributions. For employees, your payslips, P60, or P45 forms are goldmines of information. Your P60, issued by your employer at the end of each tax year (by 31 May), shows your total earnings and tax paid for that year—6 April 2024 to 5 April 2025 for the last complete tax year. If you’ve changed jobs, your P45 (given when you leave a job) details earnings and tax paid up to that point. For real-time insights, your monthly or weekly payslips list tax deductions under PAYE, including Income Tax and NICs.
For the self-employed or those with additional income (e.g., rental or investments), Self Assessment records are your go-to. If you’ve filed a tax return for 2024/25, HMRC’s calculations will show your total tax liability and payments made, including any payments on account. You can access these details via your Personal Tax Account on GOV.UK, which is a one-stop shop for viewing PAYE, Self Assessment, and National Insurance records. Not signed up yet? You’ll need a Government Gateway ID, and HMRC may ask for photo ID to verify your identity.
How Do Tax Codes Affect What You’ve Paid?
Be careful! Your tax code is the backbone of how much tax gets deducted from your wages or pension. For 2025/26, the standard tax code is 1257L, meaning you can earn £12,570 (the Personal Allowance) before paying Income Tax. If your tax code is wrong—say, you’re on an emergency code like 1257L M1 (month-by-month taxation)—you might overpay or underpay tax.
For example, consider Rhiannon, a Cardiff-based graphic designer who started a new job in September 2025 without a P45. Her employer used an emergency code, taxing her monthly earnings of £2,000 at 20% without accounting for her full Personal Allowance. By December, she’d overpaid £190.40 because her tax wasn’t calculated cumulatively. Checking your tax code on your payslip or Personal Tax Account can prevent these hiccups.
What Are the Current Tax Rates and Thresholds?
Now, let’s talk numbers. The 2025/26 tax year, running from 6 April 2025 to 5 April 2026, has clear Income Tax bands for England, Wales, and Northern Ireland. Scotland has its own rates, so if you’re north of the border, check GOV.UK for specifics. Here’s a breakdown for most UK residents:
Income Band | Taxable Income | Tax Rate |
Personal Allowance | Up to £12,570 | 0% |
Basic Rate | £12,571–£50,270 | 20% |
Higher Rate | £50,271–£125,140 | 40% |
Additional Rate | Over £125,140 | 45% |
If your income exceeds £100,000, your Personal Allowance shrinks by £1 for every £2 above that, vanishing entirely at £125,140. National Insurance rates also matter. For employees, Class 1 NICs apply at 8% on earnings between £12,570 and £50,270, dropping to 2% above that. Self-employed folks pay Class 4 NICs at 6% on profits between £12,570 and £50,270, and 2% beyond. These rates, updated for 2025/26, directly impact how much tax you’ve paid, so cross-check them against your payslips or Self Assessment records.
How Can You Check Your Tax Paid Online?
Here’s where it gets practical. HMRC’s Personal Tax Account lets you view your tax payments for the current year (2025/26) and previous years. Log in at www.gov.uk/check-income-tax-current-year, and you’ll see your PAYE income, tax deductions, and tax code.
For 2024/25, HMRC issues P800 tax calculation letters between June and November, detailing if you’ve overpaid or underpaid tax. These letters are key for spotting discrepancies, like Rhiannon’s case above. If you’re self-employed, your Self Assessment tax return (due by 31 January 2026 for 2024/25) shows your total tax paid, including any advance payments. Can’t access your account? Contact HMRC at 0300 200 3300 or use their web chat.
What If You’ve Paid Too Much or Too Little?
So the question is: what happens if your tax payments are off? Overpaying is common if you’ve changed jobs, worked part-year, or had an incorrect tax code. In 2024/25, HMRC’s automatic reconciliation caught cases like Luke, a Bristol-based barista on a zero-hours contract. His P60 showed £14,560 earned and £556.20 tax paid, but his actual liability was £398, meaning a £158.20 refund. Underpaying, however, can lead to a P800 bill or tax code adjustments. If you owe less than £3,000, HMRC may tweak your tax code to recover it; over £3,000, expect a direct bill. Always check your P800 for errors and contact HMRC if something looks fishy.
How to Check Your Tax Paid Online in the UK: A Step-by-Step Guide
This guide provides a clear and concise walkthrough on how to check your tax payments online in the UK using HMRC's Personal Tax Account. It outlines the steps required to set up an account, navigate the system, review your tax details, and address any discrepancies. This is particularly useful for understanding your tax obligations and ensuring accuracy for the 2025/26 tax year.
Step 1: Set Up Your Personal Tax Account
The first step to checking your tax payments online is to create a Personal Tax Account with HMRC. This account serves as your central hub for managing your tax affairs.
Visit the GOV.UK Website: Go to the official GOV.UK website at [www.gov.uk/personal-tax-account](www.gov.uk/personal-tax-account). This is the official portal for accessing your tax information.
Sign Up for a Government Gateway ID: If you don't already have one, you'll need to sign up for a Government Gateway ID. This is a secure way to access government services online. Click on the "Sign in" button and then select the option to create an account if you don't have one.
Verify Your Identity: To ensure your security, HMRC requires you to verify your identity. You can do this using one of the following:
* **Passport:** You'll need your passport details, including the passport number and issue date.* **Driving Licence:** You can use your UK driving licence details, including the licence number and issue date.* **Details from a P60 or Payslip:** Alternatively, you can use information from a recent P60 (end-of-year certificate) or payslip. This will require details such as your National Insurance number and employer PAYE reference.Follow the On-Screen Instructions: The website will guide you through the process of creating your account and verifying your identity. Be sure to follow the instructions carefully and provide accurate information.
Time Estimate: The entire process of setting up your Personal Tax Account usually takes around 5–10 minutes.
Step 2: Log In and Navigate
Once you've successfully set up your Personal Tax Account, you can log in and navigate to the relevant section to view your tax information.
Log In to Your Account: Return to the GOV.UK website at [www.gov.uk/personal-tax-account](www.gov.uk/personal-tax-account) and log in using your Government Gateway ID and password.
Select "Check Your Income Tax for the Current Year": Once logged in, you'll see a dashboard with various options. Look for the option that says something similar to "Check your Income Tax for the current year" or "PAYE Income Tax." Click on this option to access your PAYE (Pay As You Earn) records.
View Your PAYE Records: This section displays your PAYE records, including your income and the amount of tax deducted from your salary or wages for the 2025/26 tax year.
Step 3: Review Your Tax Details
Now that you've accessed your PAYE records, take some time to review the details carefully.
Check Year-to-Date Tax Paid: Look for the section that shows your year-to-date tax paid. This is the total amount of income tax that has been deducted from your earnings so far in the current tax year.
Verify Your Tax Code: Your tax code (e.g., 1257L) is used by your employer or pension provider to calculate how much tax to deduct from your income. Make sure your tax code is correct. If you're unsure what your tax code means, you can find more information on the GOV.UK website.
Review National Insurance Contributions: This section shows your National Insurance contributions, which are used to fund various state benefits.
Check Past Years: To view tax records for previous years, click on the "Tax year details" link or a similar option. You can typically access records for up to four years back.
Step 4: Check Self Assessment (If Applicable)
If you're self-employed or have other income that isn't taxed at source, you may need to file a Self Assessment tax return.
Go to the Self Assessment Tab: Within your Personal Tax Account, look for a tab or section labeled "Self Assessment."
View Tax Returns: This section allows you to view your past Self Assessment tax returns.
Check Payments on Account: If you're required to make payments on account, you can view the amounts and due dates in this section.
See Total Tax Paid: You can also see the total amount of tax you've paid for the 2024/25 tax year or earlier.
View PAYE Details: See your income, tax paid, and tax code for 2025/26. For past years, check “Tax year details.”
Step 5: Save or Act
After reviewing your tax details, you can save the information for your records or take action if you notice any discrepancies.
Download Your Records: Most Personal Tax Accounts allow you to download your tax records in PDF format. This is a good way to keep a copy for your own reference.
Report Discrepancies: If you notice any errors or discrepancies in your tax records (e.g., an incorrect tax code or missing income), you should report it to HMRC.
Contact HMRC: Use the "Contact HMRC" link or a similar option within your Personal Tax Account to get in touch with HMRC. You can report the issue and ask for clarification or correction.
Claim a Refund: If you've overpaid tax, you may be eligible for a refund. HMRC will guide you through the process of claiming a refund.
By following these steps, you can easily check your tax payments online in the UK and ensure that your tax affairs are in order. Remember to keep your Government Gateway ID and password safe and secure.
Digging Deeper into Your Tax Payments and Fixing Common Issues
Now, you’ve got the basics down—where to find your tax records and what your tax code means—but let’s get into the nitty-gritty of tracking your tax payments and sorting out any hiccups. Whether you’re an employee wondering why your payslip deductions seem off or a business owner juggling Self Assessment, this section dives into practical ways to calculate your tax paid, spot errors, and take action. We’ll also explore real-world scenarios and rare cases that could trip you up, all grounded in the latest 2025/26 tax year rules.
How Can You Calculate Your Tax Paid So Far?
Let’s say you want to know exactly how much tax you’ve paid halfway through the 2025/26 tax year. For employees, your payslips are your best friend. Each payslip shows your gross pay, Income Tax deducted, and National Insurance contributions (NICs). To calculate your year-to-date total, add up the tax deductions from each payslip.
For example, consider Siobhan, a Manchester-based nurse earning £2,500 monthly. Her October 2025 payslip shows £250 Income Tax and £160 NICs deducted. By October (seven months into the tax year), her payslips show £1,750 Income Tax and £1,120 NICs paid. If you’re not a math fan, HMRC’s Personal Tax Account at www.gov.uk/check-income-tax-current-year can do the heavy lifting, showing your cumulative tax paid in real time.
For the self-employed, it’s trickier. You won’t have payslips, but if you’ve made payments on account (advance tax payments based on last year’s liability), these count toward your 2025/26 tax. Check your Self Assessment records or bank statements for payments made on 31 January or 31 July 2025. If you’re expecting a big tax bill, tools like HMRC’s Self Assessment calculator can estimate your liability based on your income and expenses.
What Documents Should You Keep Handy?
None of us is a tax expert, but having the right paperwork makes life easier. Employees should keep their P60 (end-of-year summary), P45 (if you’ve changed jobs), and monthly payslips. These documents are your proof of tax paid and are crucial if you need to dispute HMRC’s calculations. Self-employed folks need to track all income (e.g., invoices) and expenses (e.g., receipts, mileage logs) for their Self Assessment return, due by 31 January 2026 for the 2024/25 tax year. Business owners with limited companies also need company accounts, PAYE records for employees, and VAT returns if registered. Missing these? You can request dupli
How Do You Spot and Fix Tax Code Errors?
Be careful! A wrong tax code can cost you hundreds. In 2024/25, HMRC reported that 1.2 million taxpayers were on incorrect tax codes, often due to job changes, multiple incomes, or outdated information. Take Gareth, a Leeds-based IT contractor who worked two part-time jobs in 2024. His main job used the standard 1257L code, but his second job applied a BR (Basic Rate) code, taxing all earnings at 20% without a Personal Allowance. By March 2025, he’d overpaid £820 because his combined income was below the higher-rate threshold. To fix this, Gareth logged into his Personal Tax Account, updated his income details, and requested a refund via HMRC’s online form.
To check your tax code, compare it to your circumstances. The standard 1257L applies to most people with one job and no extra benefits (e.g., company car). Codes like 0T or M1 (emergency or month-by-month codes) often signal issues. If your code looks off, contact HMRC at 0300 200 3300 or use the Income Tax: general enquiries page on GOV.UK. Provide your National Insurance number and details of your income sources to get it sorted.
What Happens with Emergency Tax Codes?
Now, it shouldn’t surprise you that emergency tax codes are a common headache. If you start a new job without a P45, your employer might use a code like 1257L M1 or 0T, taxing you without considering your year-to-date earnings. In 2024/25, HMRC data showed 320,000 taxpayers were temporarily on emergency codes, often overpaying by £50–£500. For instance, Aisling, a Belfast-based teacher, started a new job in July 2025. Her employer applied 0T, taxing her entire £2,200 monthly salary at 20%. By September, she’d overpaid £314 because her Personal Allowance wasn’t applied. To fix this, Aisling gave her employer a P45 from her previous job, and HMRC adjusted her code to 1257L, refunding the excess via her next payslip.
How Does Self Assessment Affect Your Tax Tracking?
Now consider this: If you’re self-employed or have untaxed income (e.g., rental or investments), Self Assessment is your route to tracking taxes. For 2024/25, over 11.7 million UK taxpayers filed Self Assessment returns, with deadlines of 31 October 2025 (paper) or 31 January 2026 (online). Your tax return calculates your total liability, subtracting any payments on account.
For example, Idris, a London-based freelance photographer, earned £40,000 in 2024/25, with £8,000 in allowable expenses. His taxable profit was £32,000, with a tax liability of £3,886 (20% on £19,430 after the £12,570 Personal Allowance) plus £1,650.60 in Class 4 NICs. He paid £2,000 on account in January and July 2025, so his final bill was £3,536.60. Check your Self Assessment records on GOV.UK to track these payments.
What About Rare Scenarios Like Non-Resident Taxpayers?
Now, let’s tackle something less common. If you’re a UK resident working abroad or a non-resident with UK income, tracking taxes gets trickier. In 2024/25, HMRC processed 450,000 tax returns for non-residents with UK income (e.g., rental or pensions). Non-residents may face Withholding Tax (20% on certain income) or need to file a Self Assessment to claim relief under a Double Taxation Agreement. For example, Elowen, a Cornwall-based writer living in Spain, earned £15,000 from UK book royalties in 2024/25. Her publisher withheld 20% (£3,000), but a UK-Spain tax treaty allowed her to claim relief. She filed a Self Assessment and recovered £1,800. Check HMRC’s Non-resident taxpayers page on GOV.UK for guidance.
Practical Tips and Key Takeaways for Mastering Your Tax Tracking
Right, you’ve got the tools to find your tax records and fix common issues, but how do you make sure you’re always on top of your tax game? This final section dives into advanced strategies for UK taxpayers and business owners to track taxes effectively, avoid pitfalls, and plan ahead. We’ll also cover some lesser-known scenarios and wrap up with a concise summary of the most critical points to keep you in control. Let’s get stuck in.
How Can You Stay Proactive with Your Tax Tracking?
Now, let’s be real—nobody wants to be caught off guard by a tax bill or miss out on a refund. Staying proactive means checking your tax status regularly, not just at tax year-end. Set a reminder every three months to log into your Personal Tax Account at www.gov.uk/check-income-tax-current-year. This lets you spot discrepancies early, like a wrong tax code or an unexpected payment. For instance, in 2024/25, HMRC flagged 280,000 cases of underpaid tax due to unreported side hustle income (e.g., Etsy sales or tutoring). By checking quarterly, you can update HMRC with new income sources and avoid a shock bill in January 2026.
Business owners, you’ve got extra homework. If you run a limited company, track your Corporation Tax (19% or 25% depending on profits for 2025/26) and PAYE deductions for employees. Use accounting software like Xero or QuickBooks to reconcile your tax payments monthly. For example, Nia, a Birmingham-based café owner, uses Xero to track her £80,000 annual turnover. In 2024/25, she paid £4,750 in Corporation Tax and £12,300 in PAYE for her staff. By reviewing monthly, she caught an HMRC error that double-counted her VAT, saving £1,200.
What Should You Do If You Suspect Overpayment?
So, you’ve crunched the numbers and think you’ve paid too much tax? Don’t sit on it—act fast. Overpayments often stem from job changes, incorrect tax codes, or unclaimed allowances. In 2024/25, HMRC issued £3.2 billion in refunds, with an average payout of £784. Take Owain, a Swansea-based engineer who switched jobs in June 2025.
His new employer used an emergency tax code, overtaxing him by £420 in three months. Owain logged into his Personal Tax Account, submitted his P45 details, and claimed a refund via HMRC’s online form, processed in 10 days. If you suspect overpayment, check your P800 letter (sent June–November) or contact HMRC directly at 0300 200 3300. Pro tip: Keep payslips and P60s as evidence.
How Do Multiple Income Sources Complicate Things?
Now consider this: If you’ve got more than one income stream, things can get messy. In 2024/25, 2.1 million UK taxpayers had multiple jobs or side gigs, complicating their tax calculations. For employees with two jobs, your Personal Allowance (£12,570 for 2025/26) typically applies to your main job, while secondary jobs use codes like BR (20% tax) or D0 (40% tax). Self-employed folks with additional PAYE income must combine both in their Self Assessment.
For example, Cerys, a Liverpool-based yoga instructor, earns £20,000 from teaching (self-employed) and £15,000 from part-time retail (PAYE). Her 2024/25 Self Assessment showed £2,086 in tax (20% on £10,430 after Personal Allowance) plus £1,050 in NICs, but her retail job overtaxed her £300 due to a BR code. She filed for a refund and adjusted her tax code for 2025/26.
What Are Some Rare Tax Scenarios to Watch For?
Be careful! Some situations are so niche they’re easy to miss. For instance, if you’re a non-domiciled UK resident with foreign income, you may need to report it under the Remittance Basis, which affects how your tax is calculated. In 2024/25, HMRC tightened rules for non-doms, requiring more detailed reporting. Or consider marriage allowance transfers.
If you’re married or in a civil partnership and one of you earns below £12,570, you can transfer £1,260 of their Personal Allowance, saving up to £252 in tax for 2025/26. In 2024/25, 2.4 million couples claimed this, but 600,000 eligible couples didn’t, missing out on £150 million collectively. Check eligibility at www.gov.uk/marriage-allowance.
Another rare case is tax relief for expenses. Self-employed folks can claim expenses like travel or equipment, but employees can too in specific cases (e.g., work-related uniforms). In 2024/25, HMRC processed 1.8 million expense claims, averaging £125 per claimant. For example, Dafydd, a Cardiff-based electrician, claimed £600 for tools and mileage, reducing his 2024/25 tax bill by £120.
How Can Business Owners Streamline Tax Tracking?
Now, if you’re a business owner, efficiency is everything. Beyond accounting software, consider hiring a Chartered Accountant for complex cases, like VAT or international sales. In 2024/25, 1.3 million UK businesses were VAT-registered, with deadlines for quarterly returns (e.g., 7 August 2025 for April–June). Use HMRC’s Making Tax Digital (MTD) system to file VAT and Income Tax digitally—mandatory for VAT-registered businesses since 2019 and expanding to Self Assessment in 2026. Also, reconcile your Dividend Tax if you pay yourself dividends. For 2025/26, dividends above £500 are taxed at 8.75% (Basic Rate), 33.75% (Higher Rate), or 39.35% (Additional Rate). Tracking these monthly avoids year-end surprises.
Key Takeaways for UK Taxpayers
Here’s the summary of the most important points to keep your tax tracking on point:
Check your payslips monthly to tally Income Tax and NICs deducted for the 2025/26 tax year.
Use your Personal Tax Account on GOV.UK to view real-time tax payments and tax codes.
Verify your tax code (e.g., 1257L) to ensure it matches your income and circumstances.
Keep P60, P45, and Self Assessment records as proof of tax paid.
Watch for P800 letters (June–November) to spot overpayments or under payments.
File Self Assessment by 31 January 2026 for 2024/25, tracking payments on account.
Fix emergency tax codes (e.g., 0T, M1) by submitting a P45 or contacting HMRC.
Claim refunds for overpaid tax via HMRC’s online form, typically processed in 14 days.
Track multiple income sources carefully, combining PAYE and Self Assessment in your tax return.
Explore tax reliefs like Marriage Allowance or work-related expenses to reduce your liability.
FAQs
Q1: What is the deadline for correcting a tax code error in the UK?
A1: There is no strict deadline for correcting a tax code error, but it’s best to contact HMRC as soon as the error is noticed to avoid overpaying or underpaying tax. Adjustments can typically be made within the current tax year or up to four years after the end of the tax year in question.
Q2: Can non-residents claim a tax refund if they’ve overpaid in the UK?
A2: Non-residents can claim a refund if they’ve overpaid tax on UK income, such as through PAYE or withholding tax, by filing a Self Assessment tax return or applying for relief under a Double Taxation Agreement.
Q3: How does someone know if they’re eligible for Marriage Allowance?
A3: A person is eligible for Marriage Allowance if they’re married or in a civil partnership, one partner earns below the Personal Allowance, and the other is a basic rate taxpayer, allowing a transfer of £1,260 of the allowance to reduce tax liability.
Q4: What happens if someone misses the Self Assessment registration deadline?
A4: Missing the 5 October deadline for registering for Self Assessment can result in penalties if the tax return is filed late, but registration can still be completed afterward, and HMRC should be contacted to explain the delay.
Q5: How can someone check their National Insurance contributions history?
A5: National Insurance contributions can be checked through the Personal Tax Account on GOV.UK, which shows a record of contributions paid via PAYE or Self Assessment.
Q6: What is an emergency tax code and how does it affect tax payments?
A6: An emergency tax code, like 1257L M1 or 0T, is applied when HMRC lacks full income details, often leading to temporary overtaxation or undertaxation until corrected with accurate information.
Q7: Can someone access their tax records without a Government Gateway ID?
A7: Without a Government Gateway ID, tax records can’t be accessed online, but individuals can request information by contacting HMRC directly via phone or post with their National Insurance number.
Q8: How does HMRC notify taxpayers of overpayments or underpayments?
A8: HMRC typically sends a P800 letter or a Simple Assessment letter between June and November to inform taxpayers of overpayments or underpayments for the previous tax year.
Q9: What expenses can employees claim tax relief for?
A9: Employees can claim tax relief for work-related expenses like uniforms, professional subscriptions, or travel required for work, provided they weren’t reimbursed by their employer.
Q10: How does someone know if they need to file a Self Assessment return?
A10: A Self Assessment return is required if someone has untaxed income, is self-employed with profits over £1,000, earns above £100,000, or has specific income like dividends or foreign earnings.
Q11: Can tax paid in previous years be checked?
A11: Tax paid in previous years can be viewed through the Personal Tax Account on GOV.UK or by requesting a tax history statement from HMRC.
Q12: What is the process for claiming a tax refund?
A12: A tax refund can be claimed by submitting a claim through the Personal Tax Account, completing form R38, or responding to a P800 letter, with refunds typically processed within 14 days.
Q13: How does having a company car affect tax payments?
A13: A company car is considered a taxable benefit, increasing tax liability based on the car’s CO2 emissions and list price, which is reflected in the tax code and PAYE deductions.
Q14: Can someone appeal an HMRC tax calculation?
A14: An appeal can be made by contacting HMRC within 30 days of receiving a tax calculation letter, providing evidence like payslips or P60s to dispute the amount.
Q15: What is the tax implication of receiving a pension in the UK?
A15: Pension income is taxed like regular income under PAYE, with the tax code adjusted to account for the Personal Allowance and any other income sources.
Q16: How does someone check if they’re on the correct tax band?
A16: The correct tax band can be confirmed by comparing total annual income to HMRC’s Income Tax bands via the Personal Tax Account or payslips.
Q17: What are payments on account for self-employed taxpayers?
A17: Payments on account are advance tax payments made on 31 January and 31 July, based on the previous year’s tax liability, to spread out the tax burden for self-employed individuals.
Q18: Can tax records be accessed if someone is employed by multiple employers?
A18: Tax records for multiple employers can be accessed through the Personal Tax Account, which consolidates PAYE data from all employers linked to the individual’s National Insurance number.
Q19: How does VAT registration affect tax tracking for business owners?
A19: VAT-registered business owners must track VAT payments separately via quarterly returns, which can be viewed in the Personal Tax Account or through accounting software linked to Making Tax Digital.
Q20: What happens if someone doesn’t respond to a P800 letter?
A20: If a P800 letter is ignored, overpayments may be automatically refunded via bank transfer or cheque, but underpayments could lead to tax code adjustments or a direct bill from HMRC.
About the Author
Mr. Maz Zaheer, FCA, AFA, MAAT, MBA, is the CEO and Chief Accountant of MTA and Total Tax Accountants—two of the UK’s leading tax advisory firms. With over 14 years of hands-on experience in UK taxation, Maz is a seasoned expert in advising individuals, SMEs, and corporations on complex tax matters. A Fellow Chartered Accountant and a prolific tax writer, he is widely respected for simplifying intricate tax concepts through his popular articles. His professional insights empower UK taxpayers to navigate their financial obligations with clarity and confidence.
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