Basic PAYE Question - Directors

JamesB

Hi everyone,
just a quick one....using the RTI Basic tools software I put through £7,700 as the gross pay for a director of a Ltd co for 2013/14.

Tax code 944L

paid £500 in Sep 13
paid £500 in Dec13
paid £6,700 in Mar14 (ticked the box that says last payment in the tax year).

When I run the P60 £1,174.10 has been deducted as tax.

Why is this not nil?

confused!

Anne Boleyn

Hi
What date did you put for starting with the company? When was the company incorporated?

AB

zara5034

I may be a bit late with this one, but it looks to me like the 944L is being operated on a week1/month1 basis rather than a cumulative basis. Was a P46 completed when the first payment was made in September? If box B was ticked, then the software would operate the code on a month 1 basis.