RIFT Operation TAX REFUND
BN - would be worth having a look *caveat not a financial advisor* but iirc in the HMRC pamphlets somewhere is an explanation that if your job is expected to be less than 2 years then you can claim tax relief up until the point at which you find out it will be more than 2 years. Likewise however, the opposite applies so if you get a 3 year posting and then are short toured iirc you get short-changed.
Well worth a look into the details on HMRC's site and if in doubt, give their helpline a call to chat through what you think you have.
Well worth a look into the details on HMRC's site and if in doubt, give their helpline a call to chat through what you think you have.
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This sounds great if I'm reading it right. I left just over 3 years ago and my last 2 tours were about 18 months each. In the first case I travelled 32 miles each way daily and on the last tour 40 miles each way daily. The difference between my HDT and the HMRC rates of 45p / mile (first 10,000 miles) and 25p / mile (thereafter) will be quite substantial so the tax rebate could be sizeable. I have payslips here, but no assignment orders here at home. Perhaps a chat with my nearest friendly PSF?
Any more details would be much appreciated.
Any more details would be much appreciated.
I can see that being true at the time, but not in retrospect. Just wondering what Melchett had achieved in arrears.
BN,
In this respect I just got lucky and fell into a bracket that was eligible in that I had 2 tours each annotated on my Assignment Order as being for 2 years and was posted either at the 2 year point or early to an OOA. The limit is 4 years, so you've got until the end of this FY to claim back to FY 11/12.
Now I'm no financial advisor, so do your own research, but as I understood it, if you are on a 2 year tour (as noted on your AO) but expectedly do longer, you can claim up to the 2 year point. However, if you are on a 3 year tour as per your AO then it's bad luck. I think the only get out in this instance is if you actually go very early before the 2 year point then you might be able to get something from the point of being told you were moving to the date of your move upto the 2 year point. So under NEM with its longer tour lengths I can see these sorts of claims becoming fewer in number in coming years.
In terms of what I got back, let's just say it was very worth the couple of days (cumulative) effort in to researching the rules and collating the data, broadly equating to the Op Allowance for 6 months in Afghanistan as I was doing 450 miles per week for one tour and 300 miles per week for the second tour. It's a nice rebate and is indicative of how little the MOD pays relative to what HMRC allows which is why I would encourage anyone to do some homework if they think they might have a claim.
But you must remember to subtract what you get in HTD/GYH from any HMRC totals. They are paid tax free so you can't claim relief on them, but on the difference between the HMRC and MOD rates.
In this respect I just got lucky and fell into a bracket that was eligible in that I had 2 tours each annotated on my Assignment Order as being for 2 years and was posted either at the 2 year point or early to an OOA. The limit is 4 years, so you've got until the end of this FY to claim back to FY 11/12.
Now I'm no financial advisor, so do your own research, but as I understood it, if you are on a 2 year tour (as noted on your AO) but expectedly do longer, you can claim up to the 2 year point. However, if you are on a 3 year tour as per your AO then it's bad luck. I think the only get out in this instance is if you actually go very early before the 2 year point then you might be able to get something from the point of being told you were moving to the date of your move upto the 2 year point. So under NEM with its longer tour lengths I can see these sorts of claims becoming fewer in number in coming years.
In terms of what I got back, let's just say it was very worth the couple of days (cumulative) effort in to researching the rules and collating the data, broadly equating to the Op Allowance for 6 months in Afghanistan as I was doing 450 miles per week for one tour and 300 miles per week for the second tour. It's a nice rebate and is indicative of how little the MOD pays relative to what HMRC allows which is why I would encourage anyone to do some homework if they think they might have a claim.
But you must remember to subtract what you get in HTD/GYH from any HMRC totals. They are paid tax free so you can't claim relief on them, but on the difference between the HMRC and MOD rates.
Worth noting, as I remember, that I don't think there's some pretty heavy caveats on daily commuting and such. All my claims were for a distant posting with weekly commutes so I can't remember what the details are, but bear in mind that the rules are designed for exactly that - being sent to the other end of the country for a year on a temporary posting, and the expenses that are incurred.
The devil is in the detail, as always, but HMRC do a fairly good job of walking you through it when you find the right place to look and phrases to search for.
The devil is in the detail, as always, but HMRC do a fairly good job of walking you through it when you find the right place to look and phrases to search for.
Yes, it does, in exactly the same way they'd cough up for a civvy staying in a hotel and not being fully re-imbursed by their company. Also food, but iirc not things like laundry, though don't quote me on that.
Mileage is not limited to the 2 journeys a month defined by the GYH scheme either iirc, it's 'reasonable' journeys or some such.
Mileage is not limited to the 2 journeys a month defined by the GYH scheme either iirc, it's 'reasonable' journeys or some such.
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Just heard about this, through a RIFT advert!
I'm not clever, but complete a tax return each year because I get child allowance, but am over the threshold set by Gideon.
I get GYH(P) for 180 miles (£6.43 a day)
Is it a case of 365 X 6.63 =£2419 per year X 1.40(higher rate tax)? =£3386, then £3386-£2419 = £976 claim on tax return?
I do sincerely apologise for being a biff, but calculus is definitely on my CV.
I'm not clever, but complete a tax return each year because I get child allowance, but am over the threshold set by Gideon.
I get GYH(P) for 180 miles (£6.43 a day)
Is it a case of 365 X 6.63 =£2419 per year X 1.40(higher rate tax)? =£3386, then £3386-£2419 = £976 claim on tax return?
I do sincerely apologise for being a biff, but calculus is definitely on my CV.
Just heard about this, through a RIFT advert!
I'm not clever, but complete a tax return each year because I get child allowance, but am over the threshold set by Gideon.
I get GYH(P) for 180 miles (£6.43 a day)
Is it a case of 365 X 6.63 =£2419 per year X 1.40(higher rate tax)? =£3386, then £3386-£2419 = £976 claim on tax return?
I do sincerely apologise for being a biff, but calculus is definitely on my CV.
I'm not clever, but complete a tax return each year because I get child allowance, but am over the threshold set by Gideon.
I get GYH(P) for 180 miles (£6.43 a day)
Is it a case of 365 X 6.63 =£2419 per year X 1.40(higher rate tax)? =£3386, then £3386-£2419 = £976 claim on tax return?
I do sincerely apologise for being a biff, but calculus is definitely on my CV.
I don't own this space under my name. I should have leased it while I still could
Associated with tax refunds are return journeys.
One that is clear cut it a journey to an airport. If your spouse drives you there you can claim her journey home and then the one picking you up. It was in QRs I believe but I am out of touch now. Naturally these then attract tax relief on the different rates.
I was also able to claim for journeys to rail stations. As far as MOD is concerned you could claim back 3 years on unit and a further 3 years on application through the central records.
Then on tax remember you can also claim subsistence difference too, not just on hotac and overnight but lunch/dinner too. What used to get me was the duty journey, say 10-14.30 buy lunch but no claim.
One that is clear cut it a journey to an airport. If your spouse drives you there you can claim her journey home and then the one picking you up. It was in QRs I believe but I am out of touch now. Naturally these then attract tax relief on the different rates.
I was also able to claim for journeys to rail stations. As far as MOD is concerned you could claim back 3 years on unit and a further 3 years on application through the central records.
Then on tax remember you can also claim subsistence difference too, not just on hotac and overnight but lunch/dinner too. What used to get me was the duty journey, say 10-14.30 buy lunch but no claim.
