Print

What is the 2021/22 PAYE tax code? 

Details of the PAYE codes for 2021/22 are as follows.

Employees who are Scottish Taxpayers have the prefix S. The higher rate threshold in Scotland is £43,663 in 2021/22 (£43,430 in 2020/21), compared to £50,270 (£50,000 in 2020/21) in the rest of the UK.

Employees who are Welsh Taxpayers have the prefix C. The higher rate threshold in Wales is the same at that for the rest of the UK at £50,000.

What tax code do I use for 2021/22?

If the employee is a starter or casual worker complete the Starter Checklist.

Otherwise use 1257L for employees unless:

It is advisable to double-check with HMRC and if in doubt check online or phone the tax office.

Do not carry forward any week one or month one adjustments.

What is the 'emergency' tax code for 2020/21?

What is code ending in OT?

This means that the employee has not been given any allowances against tax. This is most likely because the employer has probably not been given the employee's starting information, they are is a casual worker or earn over £125,140.

How do I check my tax code?

It is said that less than 80% of employees bother to check their PAYE code. It is foolish not to check it, as it won't bite you.

See How to check your PAYE code.

Pensioners

Pensioners no longer qualify for any additional age allowance.

Married pensioners over 83 (born before 6 April 1935) may receive the married couples allowance adding up to 891 to their tax code.


Squirrel ad


Are you enjoying our content? 

Thousands of accountants and advisers and their clients use www.rossmartin.co.uk as their primary TAX resource.

Register with us now to receive our unique FREE Tax Planning Tips and Advice Guide & our FREE OMB Newsletter.