HMRC will be sending out the 2018/19 tax codes to employees and employers shortly. Please watch out for the use of what is being called ‘dynamic coding.’
This has been introduced by HMRC to speed up the collection of tax underpayments. HMRC will continually estimate any likely tax underpayment for the tax year and make an adjustment. As a result, you may see several adjustments being made to your PAYE coding throughout the year.
If your tax code changes please make sure that you check it, and if it doesn’t make sense question the entries included.
The information in the personal tax account is, in our experience, not always helpful and it may be necessary to call HMRC.
Please also remember that if you have a tax advisor it is advisable to send any tax code amendments that you get to them for checking, they no longer receive copies direct from HMRC.
For more information, please contact Lesley Sutton on 01484 550037 or email firstname.lastname@example.org.