Tax saving tips for students

Date: 25th September 2008

With the average student now expected to leave university holding £17,500 of debt, the Telegraph has published a number of tax saving tips.

Research by HM Revenue and Customs (HMRC) shows that three quarters of all university students are in paid employment, yet many are paying more tax than necessary.

Many students who work part-time are unaware that if they earn less than £6,035 per annum, they do not need to be paying income tax.

Ama Uzowuru, a spokesperson from the National Union of Students (NUS), said: "We are encouraging all our advisors at students' unions across the UK to direct students to the student tax advice website.

"If students check the facts now, before they start working, then they will find it much easier to sort out their tax later one."

HMRC advises that students familiarise themselves with the importance of forms such as the P45 and P38(S), which are issued by employers, and the different tax bands that exist.

Taxpayers have been reminded by HMRC that the final deadline for self-assessment tax returns is January 31st 2009.