Tax code query

sjg666

I get paid mid-month so I have now had 2 paydays this financial year where the higher personal allowance has not been taken into account.

The office accountant says he can't change tax codes until he receives notification from HMRC, which I suppose makes sense, but it's now halfway through May shouldn't they have received that by now? I also personally haven't received my coding notice for the year.

I would have assumed it made more sense at the start of the financial year to set the tax code to whatever is 'standard' for that year and then amend it if/when notification is received that says different.

I know the monetary difference isn't huge but it's still money that is due to me rather than HMRC and as I've had to fight with them a couple of times previously on different issues and knowing how long it takes for problems to get sorted I just wanted to check the way my office accountant does it is the norm as he has made a fairly obvious mistake with me in the past that caused me numerous headaches (and reduced salary until it was sorted with minimal help from him)!

LittleVoice

Are they applying 944L as your code? If so, they should have changed this to 1000L and as it is standard AFAIK they don't need individual notifications from HMRC to do this.

Is the "office accountant" new to payroll?

sjg666

LittleVoice wrote: »

Are they applying 944L as your code? If so, they should have changed this to 1000L and as it is standard AFAIK they don't need individual notifications from HMRC to do this.

Is the "office accountant" new to payroll?

Yes that's the one.

Nope, he's an older gentleman who has been doing it for years.

I thought it seemed odd that he was expecting HMRC to send out notices every year for standard codes, that would mean they send out millions of pretty unnecessary letters!

molerat

Print this off for him

http://www.hmrc.gov.uk/helpsheets/p9x.pdf

What you need to do before 6 April 2014
Employees without a new tax code
Carry forward the authorised tax code from the 2013–14 payroll record to the 2014–15 payroll record, but if you have
received a 2013–14 tax code on a form P6 too late to use in 2013–14 carry forward this code instead.
Do not copy or carry over any ‘week 1’ or ‘month 1’ markings.
The payroll records for these employees are now ready for the new tax year.

amiehall

It is no longer standard to receive a coding notice every year. Basically you should only expect to receive one if your situation is somehow "odd". If you're just on the standard code, it should be automatically updated each year.

I'm not really sure how to suggest you deal with this though, it's a bit delicate... Perhaps you should explain to your manager and get them to deal with it. I can't believe that this issue has never arisen before!!

sheilavw

They didn't change my Husband's last year. He rang tax office and they said his payroll should have had notification (no ones was changed), they changed it over the phone that day and the following week (he is weekly paid) he got what they owed him back

paulsad

Phone the tax office - I had to yesterday when I noticed my code had reverted back to what it was the last time I had to call them.
Be nice & they are very helpful.
I now need to check mine next April to make sure the system doesn't do it again.

Horseunderwater

That system was in place when I worked for them in the early 80's. It has not changed in all that time, we used to send out one letter addressed to the employer with a leaflet explaing how to update individuals codes at the time of the budget which was always in March back then. This was pre computer as well. The letter was bulk printed & all we did was write on the employers PAYE ref & address. Any accountant or payrol clerk should know this. To not uprate a bog standard code on the 1st pay round after 5th April is quite frankly stupid.

sjg666

Thank you all so much for your help.

I think perhaps I'll call HMRC and see if they can update it to avoid any awkward situation with the office accountant - we're a small office and I only sit around 10 meters from him!

Much appreciated.

[Deleted User]

There is no need to phone HMRC if he has simply not uprated your tax code, he can do that without notification! How many others are wrong?