My son is paid £250 a week after tax @ 20% as a subcontractor. How much is that gross please...

dizzylizzy

He is being paid £250 a week after tax so what would that make his gross payment? And what would his annual earnings be? He is 21 and can earn 11000 before tax...should he be able to claim tax back?

Caroleanne

Hi

Is he in the construction industry? I am guessing he is. his gross pay is £312.50 tax at 20%=£62.50

If he continues at this rate 52 weeks at his gross pay for the year would be £16250 - 11000= taxable in come £5250 x 20%= tax due £ 1050 tax paid £3250, he may also have to pay national insurance, this would be calculated when he does his self assessment at the end of the tax year,

And deducted from any over payment of tax, HMRC would then pay back difference.

Don't forget he can also claim for valid expenses ie work clothes, safety shoes etc, must keep valid receipt, this will also reduce liabilty

Hope this helps