New employee tax code checker
Before you pay a new employee it’s necessary to decide the correct tax code to use. This involves a number of factors starting with whether or not they have a P45. In the worst case scenario using the wrong code could result in HMRC looking to you, the employer, to pay any shortfall in tax.
How to find the correct code
Our interactive flowchart will help you decide on the correct tax code in less than a minute. It’s based on HMRC's latest guidance and the PAYE Regulations.
Related Topics
-
VAT reduced on advance payment if customer cancels?
A subscriber to our newsletter wrote to us with a query. The business supplies a three-stage training course to students that fully pay (non-refundable) in advance for all three stages. If the students drop out before the end, can our subscriber partly reduce the VAT paid to HMRC on their return?
-
HMRC scrutinising directors’ loans
HMRC has begun a new compliance campaign targeting company directors who owed their companies money. What’s the full story, and how should you respond?
-
New two-tier mileage rates for electric vehicles
The amount that employers can reimburse staff for business travel in company cars changes from 1 September 2025. What are the new rates, and why is this update different to previous ones?
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.