HMRC has recently launched a new online tool to help you better understand your tax code and how it is broken down. It’s a straightforward tool that only requires a few details, just follow the link below to get started!
The link is HMRC tax code tool
You’ll need to have the following to hand to make use of the tool:
- Your tax code
- Annual income (before any deductions)
- Any company benefits you may receive
- Your state pension (should you receive any)
Everyone may have heard the term code, either at work or on the news, but not everyone will be aware of what a tax code is. In essence a tax code is information created by HMRC that your employer or pension provider uses to work out how much tax to stop you. This code can change depending on various factors, such as any benefits you may receive or if you have a second job. Whenever your tax code changes you will be issued with a notice that shows the breakdown of the code and how HMRC have calculated it.
We’d recommend you give the tool a try, should you have any questions, or any issues arise please get in contact with us so that we can give you hand.
