Martin Lewis issues tax warning for millions as key deadline days away

Martin Lewis issues tax warning for millions as key deadline days awayThe Martin Lewis Money Show, ITV

Transcript

00:00Tax codes. Urgently check if yours is correct,

00:04but more importantly, for the backdating, was correct in 2020-2021.

00:09Your tax code tells your employer or pension provider

00:11what tax to take from you.

00:13It normally looks something like this. This is the typical one.

00:15There we go. Just so you know what that means, add a zero to the end.

00:19There we are. And a pound at the beginning.

00:21That's your personal allowance, how much you can earn tax-free each year.

00:24That's what the tax code is saying.

00:26Now, millions of them are wrong.

00:30And the crucial thing here, it is not HMRC's responsibility.

00:34It is not your employer's responsibility.

00:36It is your responsibility to ensure it's right.

00:39Now, you may have overpaid hundreds or thousands of pounds in 2020-2021.

00:44This is your last opportunity to check if that's right.

00:46So go online to a tax code calculator,

00:49which will help explain what it meant, and check if it is right.

00:52Because if not, you're going to miss the opportunity

00:53to get the money back if you're overpaid.

00:55If you're underpaid, by the way, funnily enough,

00:57they have longer to come back and reclaim the tax back off you.