Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Sun, 07 May 2023 14:09:01 GMT by Porth Leven
I took voluntary redundancy (VR) on 31st March 2023. I, please, need some help on how to enter the information correctly into the self assessment online form. Can someone please help me? My tax code is 247T The total income on my P45 for the tax year 2022-23 is £342k, with tax paid of £138k. Within the total of £342k the VR payment was £176k, including the £30k which should be tax free. I do not have a breakdown on how much tax was paid on the VR element, just that the total tax I have paid in the 2022-23 tax year is £138k. Question 1) I am not clear on which amounts need to go where on the form? On the employment page it says enter the total income and tax from your p45/p60. But if I do this then when I enter the VR amount on the supplement income page it makes my total income overstated by the amount of the VR. How should I show these amounts? How much in which boxes? Question 2) Is £138k of tax already paid roughly correct given the figures stated above? Depending on which amounts I put into which boxes I either come up with a) it is about right or b) I am owed a £12k rebate, which I assume is something to do with the £30k element which should be tax free? Many thanks for any advice that you can offer.
Posted Fri, 12 May 2023 13:46:28 GMT by HMRC Admin 5
Hi,

A  redundancy payment up to £30,000, after any post-employment notice pay has been taken off, and against which your employer has allowed an exemption on, put the 

total amount that you received in box 9.

If your payment after any post-employment notice pay has been taken off, is more than the £30,000 limit, you’ll have to pay tax on the difference.

Put the amount over £30,000 in box 5, any tax taken off in box 6 and the £30,000 limit in box 9.

Thank you.

You must be signed in to post in this forum.