Claiming Tax Back On A Gap Year Information At Anywork Anywhere

Claiming Tax Back On A Gap Year

Each year thousands of young adults take a gap year before embarking on their further education at university or college. Most must earn sufficient funds to cover the cost of their travels before they leave the country. What many do not realize is that if they earn less than their annual tax free allowance, they are eligible to claim back any tax they have paid on their income within the tax year.

Everyone who works in the UK is given a tax free allowance. For the 2012/2013 tax year this amounts to £8,105 for anyone under the age of 65. Normally this tax free allowance is divided throughout the year so that you receive a proportion in each pay packet. If, however you are taking a gap year and are not working for the entire year, you will invariably not receive your entire tax free allowance and as a result you will be due a tax refund.

If you have earned below the tax free allowance you will be able to claim back any income tax that you have paid in year. If you have earned over your tax free allowance, you will still likely be due a tax refund. This you can check by using a Tax Refund Calculator, inputting your tax and income figures from your P45, which your employer has given you.

If you are unsure how to calculate your tax rebate or would prefer to have someone submit the claim for you, you can use a tax agency to help Claim A Tax Rebate. Alternatively you can make the claim yourself, submitting your P45/P60 as well as a P85 and P86, if applicable, and a P91 to your local tax office.

You may have been on a gap year or taken a sabbatical many years ago and still be able to claim a tax rebate. The time limit on making any claims is 6 years, so it is advisable to check that you are not missing out on a refund which on average often amounts to over a thousand pounds.

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