PAYE tax codes
HMRC have confirmed that the pre-existing April 2010 versions of tax tables and payroll software should continue to be used from 6 April 2010. This is because the Chancellor did not announce any further changes to any of the personal allowances, income tax rates and income tax bandwidths for the tax year that started on 6 April 2010.
This means that there need be no changes to tax codes and employers should continue with employees’ existing tax codes on the P11 Deductions Working Sheets or equivalent records.
Employers who use Taxable Pay Tables must continue to use Calculator Tables (April 2010) or Tables B to D (April 2010) which have not been changed. The Pay Adjustment Tables – Tables A also remain unchanged.