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    Thank you Well. Dividing 5000 by 12 was a bit too obvious for me. All I have gathered so far about the number nine in the formula, it was "added on". It would be nice to know why HMRC added an extra £9 to the free pay, equivalent to 75p per month. Table A goes back to a version created in 1993 so the reason for adding it might be lost in the mists of time. Was it a one-off? Maybe will never know. If you could escalate it with a view to getting an answer. I would be grateful. Everything in the Excel version of Table A is obvious, apart from my overlooking the obvious, multiply tax code by ten and divide by twelve (I should have spotted the 16.666 recurring). The problem arises if you use the simple formula of tax code multiplied by 10 and divide by 12, you get £416.67, but the table actually shows £417.42 for tax code 500 which is £416.67 plus £0.75, 0.75 being the nine divided by 12)

    In the downloadable Excel spreadsheet for Table A, there are sheets for each month of the year, 12 sheets. Each sheet has colomns of tax codes and the amount of free pay. For example, Column A holds the tax codes and coli=umn C holds the free pay. Column B is hidden. Unhide it to reveal Column B that holds a helper formula. Can someone tell me what the figure 9 in the formula is for? The formula is (((A8*10)+9)/12) where A8 is the tax code. Secondly, on each sheet there is a method to calculate free pay for codes over 500, bottom right. It refers to a value of 416.67 for month 1. Can anyone tell me where 416.67 comes from?
  • RE: Calculating Capital Gain Tax from Sharedealing account

    I remember doing this some years ago when selling some privatisation shares. It was quite complicated applying taper relief, but at the time, HMRC published paper guides that you could order from Plymouth. The probably don't do the paper guides, but there must be some online guides as well. The guide(s) would have been titled capital gains and taper relief or similar. Certainly, without those guides I wouldn't have managed it, but I did, and it seemed to satisfy HMRC.
  • Tax statements from HMRC

    I have just opened my June 2021 self-assessment. I commented directly to HMRC some time ago that these were difficult to understand and do not follow the simple layout of credit, debit and balance used by banks and credit card providers for example. Nothing has changed too improve things. I get three columns - tax due, credits, balance. The balance does not indicate whether it is in credit or debit. The brought forward figure the same. I put the figures into a spreadsheet and apart from one balance value, nothing else makes sense. I shouldn't have to get into the complexities of spreadsheets to try and work it out. One of the big problems is that the balance, which I assume is what I owe, does not have values for each row of figures. So, HMRC, make some improvements, make it clear if balances are credit or debit and include a balance figure for each item. Can't be too difficult to do, can it?