STUDENTS in South Lakeland and Furness planning to take holiday jobs are being warned to make sure they do not end up paying tax by default.

Tax experts say students overpay millions of pounds in tax every year.

Barrow-based Russell Longton, of the North West Society of Chartered Accountants, said refunds could be claimed, but it was irritating and time-consuming to have to do so.

"Students who earn less than the personal allowance of £ 4,386, and have no other income, should not be paying tax," he said.

"The way to avoid it is to obtain a P38 (S) form from the Inland Revenue for their employer to complete, instead of assuming the firm's payroll system will deal with it automatically."