PAYE Procedures – Tax code changes

Monday, May 18th, 2009

From the start of the 2010/11 tax year, the way in which tax codes D0 and NT must be applied when issued on coding notices P6 or P9 is changing. If the coding notice states that the employee’s tax code should be

  • D0, it is applied on a cumulative basis
  • D0 Week 1/Month 1, it is applied on a non-cumulative basis
  • NT, it is applied on a cumulative basis
  • NT Week 1/Month 1, it is applied on a non-cumulative basis.

The change does not apply during 2009/10. Tax code D0 should continue to be applied on a non-cumulative basis in every case during this current tax year.

Further information:
Notes for Payroll Software Developers – May 2009


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