Tax code checker

Ensuring you're on the correct UK tax code is vital to avoid overpaying or underpaying income tax. Here's how you can verify and understand your tax code:

1. Understanding Your Tax Code:

Your tax code, a combination of numbers and letters (e.g., 1257L), determines your tax-free personal allowance and how much tax is deducted from your income. The number typically represents your tax-free allowance divided by 10, while the letter provides additional information about your tax situation.

2. Common Tax Codes and Their Meanings:

• 1257L: Standard tax-free personal allowance of £12,570.​
• BR: All income taxed at the basic rate (usually used for a second job or pension).
• D0: All income taxed at the higher rate.
• D1: All income taxed at the additional rate.
• K: Indicates you have income that isn't being taxed another way and it's worth more than your tax-free allowance.

3. How to Check Your Tax Code:

• Payslips: Your tax code is usually displayed on your payslip.
• Personal Tax Account: Access your account online through the UK government's website to view your tax code and manage your tax details.
• HMRC App: Use the official HMRC app to check your tax code and other tax information.

4. Steps to Verify Your Tax Code:

• Review Your Payslip: Locate the tax code and ensure it aligns with your current employment and income situation.
• Log into Your Personal Tax Account: Visit the UK government's website and sign in using your Government Gateway ID and password. If you don't have these, you can register using your National Insurance number and other personal details.
• Use the HMRC App: Download and install the HMRC app to access your tax information on your mobile device.

5. What to Do If Your Tax Code Is Incorrect:

• Contact HMRC: If you believe your tax code is wrong, reach out to HMRC to correct it. You can call them at 0300 200 3300 or send a letter to:
  Pay As You Earn and Self Assessment
  HM Revenue and Customs
  BX9 1AS
  United Kingdom
• Provide Necessary Information: Be prepared to provide details about your income, employment, and any changes that might affect your tax code.

6. Reclaiming Overpaid Tax:

If you've overpaid tax due to an incorrect tax code, you can claim a refund for up to four years from the end of the tax year in which the overpayment occurred. HMRC will adjust your tax code and issue a refund if necessary.

7. Filing a Tax Return:

If you need to file a self-assessment tax return, register with HMRC to receive a Unique Taxpayer Reference (UTR). Deadlines are October 5 for registration, October 31 for paper returns, and January 31 for online submissions and payments.

Regularly checking your tax code helps ensure you're paying the correct amount of tax and can prevent unexpected bills or missed refunds.