Company calculating income tax without using tax codes

bjorn_toby_wilde

Does anyone have any experience of payroll departments working out tax themselves rather than using tax codes?

I recently retired, but in April last year my company was taken over by a bigger US firm.  The new firm didn't use tax codes (all employees were allocated the standard 1257) and instead calculated everything themselves.  Apart from producing the most complicated payslip I've ever seen, the end result is that I have no idea how to complete my tax return.

I had a company car, medical insurance and pension contributions so under normal circumstances I would simply have taken the numbers straight from my P60 and P11D and entered them into the Self Assessment.  I can't do that now because the new company don't issue P11D's; everything is theoretically on the payslip.  I have a P45, but that just gives Total Pay and Tax Deducted.  No idea whether some notional figure for my BIK is included in that or not.

I'd be interested to know whether anyone else has experienced this and whether there are any online resources I can use to unpick the payslip and fill in my return.

Dazed_and_C0nfused

I think your thread title is misleading as you go on to state that they did use a tax code.

The new firm didn't use tax codes (all employees were allocated the standard 1257) 

It sounds like they have payrolled the benefits but I believe you would normally be able to see this from your payslips.

https://moneysoft.co.uk/support/payrolling-benefits-kind-pbik

Albermarle

My last company moved to this system and it worked OK.

Worth noting though that if you have any other income/issues unrelated to the employer that affect your tax code, then HMRC will inform the employer of a new tax code. So it is still possible to have a tax code that is not 1257L.

bjorn_toby_wilde

Thanks both

It looks like payrolling the benefits is exactly what they've done.  It took a while with a calculator to figure out exactly what had gone where, but I got there in the end.  After so many years of P11Ds it was a little confusing but the benefits were listed monthly and YTD so I was able to take the figures for the car and medical insurance from the YTD column of my last payslip.