From 6 April 2017 HMRC will be updating tax codes on a much more regular basis. For some employees this could mean a new tax code every month. The aim of this change is to ensure employees pay the correct tax, or benefit from tax relief and refunds, during the tax year.
If we prepare your payroll we check before each pay run for new tax codes and implement these automatically. You will not have to take any particular action on this.
Employees may increasingly query why tax codes have changed. Often neither the employer nor the payroll agent can answer this. The reasons for a particular tax code is personal and confidential between the employee and HMRC. Employees can query their tax code here
As with all of our tax tips and web pages this information is necessarily summarised and of a general nature. If you would like detailed specific advice please contact us.