wrong tax code how do I correct on company payroll

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I run a small business with just myself and my daughter (part-time) on the payroll

I had a message from HMRC saying that my daughter's tax code from 6th April will be 999T

She currently also works in a supermarket part-time and has the BR tax rate

Last year She worked at KFC which she thought she had resigned from, but they had just given her a 6-month sabbatical and they raised a final wage slip (£0) last month and ended her employment. She earned £3000 from this job

HMRC is showing an end date from KFC but looks like they are also calculating an income from them for the next tax year

Therefore

Supermarket BR tax

My company  99T

Her tax allowance obviously should be 1257L

what do I do to correct this as technically she will be overpaying tax 

I have had an email from HMRC about her code.    do I just log in to my employer PAYE account and change the code from 999T  to 1257L

or do I just ignore it and hopefully it will sort itself out



Comments

  • tizerbelle
    tizerbelle Posts: 1,826 Forumite
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    The company must apply tax code changes that HMRC sends it.  You cannot over-ride any tax code notice they send you and you cannot use any tax code notice they send to the employee either.   You must apply the 999T tax code effective from 06/04/24.

    Your daughter needs to sort out what her tax code is / will be with HMRC directly or via her Personal Tax Account.  Only when (if) HMRC send the company a further notice, can you amend her tax code


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