PAYE11010 - coding: codes: how they are used and calculated: cases where you should use code NT

The list below shows the only cases where you should use code NT

• If there is doubt whether a payment will constitute pay. The Employment Income (EIM) Manual tells you what constitutes pay
• Where questions arise about residence or payments outside the UK (see the Employment Procedures (EP) Manual at EP8135 - EP8170)
• Clergymen and Ministers of religion in certain circumstances. These are explained in the Employment Income (EIM) Manual
• Visiting teachers, students and others exempt under a double taxation agreement. The Double Taxation (DT) Manual explains these cases
• Where an employee continues in the same employment and is the subject of a receiving order. Use code NT from the date of bankruptcy to the following 5 April
• Where an occupational pensioner remains with the same pension provider and is the subject of a receiving order
• Nominee directors in certain circumstances. These are explained in the Employment Income (EIM) Manual
• Where a member of the reserve or auxiliary forces is not liable to tax on the full amount of reserve pay
• Where the earnings are paid in the course of a trade or profession and are self assessed as profits of the trade or profession. Examples are payments to actors, musicians or other entertainers. The Employment Income (EIM) Manual tells you what is assessable as PAYE income
• Where an accounts Inspector dealing with a professional partnership tells you that director's fees have been included in his self assessment (for more information see the Employment Income Manual (EIM) at EIM03002)
• Where the technical caseworker dealing with a professional partnership tells you that director's fees have been included in the partner’s self assessment
• In certain Incapacity Benefit cases dealt with by Leics and Northants Area (IBTO) where the IB code would over-deduct tax
• Where a person self assesses on trading or other non-PAYE income and holds a PAYE post as a small part of their main work
• For the part of a year after a woman is widowed or separated where clearly no tax will be due