31 January 2005 is an important day for taxpayers here in the UK. It’s the deadline of filing your individual tax returns – that is if you’ve been procastinating like me otherwise, you would have already submitted your tax return before the 30th of September.
In all honesty, I really wasn’t procastinating…I actually started concerning myself with my returns since March last year. For one, this was the first time I was doing this tax thing myself and secondly, I knew my case was a bit complicated because I was on expat status from May to July (2003) and then I worked for another commpany until August 2003 before finally moving to my current employment inn September 2003. So, I asked my current company’s HR to help me out. Since they don’t have my tax information from when I was on expat status, they said that it would be really difficult for them to complete the return for me. They suggested that I have return completed by the same people who prepared them for me when I was on expat status. We rang them up and they agreed to do it for me at a very friendly price.
Anyway, May (2004) came and my company sent out our individual P60′s where the tax information is indicated. This is where I procastinated…I waited until October to pass the information to the accountants. Now, I have the tax return completed and hopefully, I could get it in time over to the tax office.
The more painful part about it is – I need to pay £563 more tax! Why? Because of the housing allowance I received when I was working as an expat here in England. I was told by my accountants that the allowance was tax free for the first 2 years. Since my stay extended beyond that time, any allowances/benefits would be subject to tax.
BUT this tax was supposed to be shouldered by my previous employers since it was an agreement that the monies we received (per diems + allowances) were net of taxes. So, in reality, I should be claiming back this money from them as they were supposed to have given me the money for it. Big problem is, I am no longer their employee and I haven’t been since July 2003! I emailed my ex-boss in Madrid and told him about the situation and asked for help. He said to contact 2 key persons, one of whom he will personally speak to about my case on Monday. Fingers crossed, I would get my money back.
I would have just let it go if the additional tax I had to pay was only less than £100. But it’s £563 … and that’s a lot of money! If I don’t get that back, there goes my holidays… :pessimist: Please help me pray. Thanks.
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