PAYE11040 - coding: codes: how they are used and calculated: P2 standard notes
There are a number of standard notes that explain how a
customer’s tax code is made up. The standard notes are
generated automatically based on the allowances and deductions in
the customer's code. The table below gives a list of coding
descriptors and the explanatory note. All the notes will be
numbered consecutively on the notice of coding, if personal
allowances are present these will be note 1.
If married couple’s allowance is present in the code
this will be note 2. The HPAR restriction is not shown on the
notice of coding, the note explains what the married couple’s
allowance is worth in terms of tax and how the figure included in
their code will give them their entitlement. COP screen CD will
remain the same; married couples allowance and HPAR will both be
shown but the P2 will only show the married couple’s
allowance net figure (the married couple’s allowance figure
minus HPAR).
Subsequent note numbers will vary depending on the
customers’ circumstances. Most pensioners’ personal
allowances note will refer to their age and an estimated income
figure and point to the final note, which says when a change to
this figure will affect their age- related personal allowances.
If a customer is approaching pension age or is a man over 65
or a woman over 60 there are 3 advisory notes that can be added to
remind them to check that their employer stops or is no longer
deducting NIC from their income. For example
- If the taxpayer is between 60 and 65 at the date of issue and their title is Ms, Mrs or Miss, the appropriate note would read ‘Please check your payment advice to make sure [Employer Name] has not taken off National Insurance contributions’
The final numbered note explains how the tax free amount for
codes with positive net allowances is spread over the whole year
resulting in X amount a week or month tax free. For K codes the
note will show how the ‘tax is due on’ figure is
collected at X amount a week or month.
The final note also shows how much will be charged at the
different tax bands and when the higher rate band starts.
The table is presented as follows
| Allowances |
| Reliefs and Expenses |
| Deductions |
Allowances
| COP Indicator | P2 Description | P2 Standard Note |
| AAH | Allowances allocated here | We know you have another job or pension (you may get a notice of coding for that job, or pension too). We have used some of your allowances to give you a tax free amount at this job or pension. |
| BPR | Blind person's allowance | You are entitled to Blind
Person’s allowance if you are certified as blind and are on
your local authority’s register. (The rules are a bit
different if you live in Scotland or Northern Ireland).
If you do not earn enough to pay tax and you are married or in a registered civil partnership you can transfer any part of the allowance that you do not need to your spouse or civil partner. Similarly if your spouse or civil partner is entitled to the allowance and does not need it all, they can transfer the surplus to you. |
| LRA
[In use up to 5 April 2008, not used from 6 April 2008] | Starting rate adjustment | The first £[LOWER
RATE BAND] of your taxable income, wherever it comes from, is
taxable at [LOWER RATE]%.
We do not think you will earn enough at [EMPLOYER NAME] to pay tax on £ [LOWER RATE BAND]. We know you have another job (or pension) where all your pay is taxed at [BASIC RATE]% (you may get a notice of coding to say code "BR" will be used there). So, to make sure you get the benefit of all the £ [LOWER RATE BAND] at [LOWER RATE]% rate, we add an allowance of £[ALLOWANCE VALUE] to your tax free amount, here. |
| PA | Your personal allowance | The law allows everyone
who lives in the UK to receive some income before tax has to be
paid – a 'tax free amount' of income.
That tax free amount starts from a 'personal allowance' that depends on your circumstances. Our records tell us you are entitled to [PA AMOUNT] for this tax year, the standard personal allowance for people who will be under 65 at 5th April [TAX YEAR END DATE]. |
| PAA | Your personal allowance | The law allows everyone who lives in the UK to receive some income before tax has to be paid – a ''tax free amount'' of income. That tax free amount starts from a 'personal allowance' that depends on your circumstances. We believe you are entitled to £[PA AMOUNT] for this tax year. £[PA AMOUNT] is the personal allowance for people who are between 65 and 74 at 5 April [TAX YEAR END DATE] with an estimated total income of £[ESTINC]. But please read note [FINAL NOTE No] as well which tells you when to contact us if your income is likely to change. |
| PAE | Your personal allowance | The law allows everyone
who lives in the UK to receive some income before tax has to be
paid – a “tax free amount” of income.
That tax free amount starts from a “personal allowance” that depends on your circumstances. We believe you are entitled to £ [PA AMOUNT] for this tax year. £[PA AMOUNT] is the personal allowance for people who are over 75 at 5 April [TAX YEAR END DATE] with total income for the year less than £[MIN AGE INCOME LIMIT]. But please read note [FINAL NOTE No] as well which tells you when to contact us if your income is likely to change. |
| MAA | Married couple's allowance | Married couple’s
allowance is due if either spouse was born before 6 April 1935.
The maximum allowance is worth £(married allowance full rate x 10%) but this can be reduced to £(married allowance min rate x 10%) depending on the level of your income. It’s worth £(married allowance x 10%) to you. You get the married couple’s allowance of £(married couples allowance x 10%) by having (married couple's allowance - allowance restriction) included in your tax free amount. |
| MAE | Married couple's allowance | Married couple’s
allowance is due if either spouse was born before 6 April 1935.
The maximum allowance is worth [married allowance full rate x 10%] but this can be reduced to [married allowance min rate x 10%] depending on the level of your total income. It is worth [MARRIED COUPLES ALLOWANCE x 10%] to you over the year. You get the married couple’s allowance of £[MARRIED COUPLES ALLOWANCE x 10%] by having [MARRIED COUPLES ALLOWANCE – ALLOWANCE RESTRICTION] included in your tax free amount. |
| MCCP | Married couple's allowance | Married Couple’s
Allowance is due if either of you were born before 6 April 1935.
The maximum allowance is worth [O75 Married Allowance full rate x 10%] if either of you are over 75 and [U75 Married Allowance full rate x 10%] if you are both under 75. You can share the minimum part of this allowance with your spouse or civil partner. This allowance can be reduced to [Married Allowance min rate x 10%] depending on the level of your total income, or that of your spouse or civil partner, whichever is the higher. It is worth [Married Couples ALLOWANCE x 10%] to you over the year. You get this allowance of £[Married Couples Allowance x 10%] by having [Married Couples Allowance – ALLOWANCE RESTRICTION] included in your tax free amount. |
| WMA | Married couple's allowance | You and your husband have
agreed you will have the minimum married couple’s allowance.
It is worth £[WIFES MARRIED ALLOWANCE x 10%] to you. You get
this by having [WIFES MARRIED ALLOWANCE] included in your tax free
amount.
Or You or your husband have chosen to have half the minimum married couple’s allowance each. It is worth £[WIFES MARRIED ALLOWANCE x 10%] to you. You get this by having [WIFES MARRIED ALLOWANCE – ALLOWANCE RESTRICTION] included in your tax free amount. |
| WAA or WAE | Married couple's allowance from your husband | We believe your husband
does not need all his married couple’s allowance to stop him
paying tax – we have provisionally given the balance to you.
It is worth £[MARRIED ALLOWANCE x 10%] to you.
You get the married couple’s allowance of £[MARRIED COUPLES ALLOWANCE x 10%] by having [MARRIED COUPLES ALLOWANCE – ALLOWANCE RESTRICTION] included in your tax free amount. |
| MAT | Married couple's allowance transferred to your wife | We do not expect your
total income to be more than £[NET TAX ALLOWANCES –
MARRIED ALLOWANCE TRANSFERRED]. So you will not need all of the
married couple’s allowance to stop you paying tax at
[EMPLOYER NAME].
You have asked us to transfer the rest to your wife and we have arranged for £ [MARRIED ALLOWANCE TRANSFERRED] to be provisionally given to her. Please let us know if our estimate of your earnings is too low. |
Reliefs and Expenses
| COP Indicator | P2 Description | P2 Standard Note |
| CR | Concessional relief | We have previously agreed that you are entitled to this tax relief. If you think our figure is wrong, or your circumstances have changed, please tell us. |
| FS or TUS or WO | Death, sickness or funeral benefits | We have included £ [ALLOWANCE VALUE] for half of any trade union subscriptions you pay for death benefits, for part of any premiums on some friendly society policies providing death and sickness benefits, and for any extra widows and orphans payments you may have to make. Please tell us if you think this figure is wrong. |
| DTR | Double taxation relief | We have previously agreed that you are entitled to this tax relief. If you think our figure is wrong, or your circumstances have changed, please tell us. |
| EIS | Enterprise investment relief | Please tell us if you think this figure is wrong, or the relief is no longer due. |
| FRE | Flat rate job expenses | The Inland Revenue has agreed with the union that £(allowance value) is the amount you are likely to have to pay out doing this job. You don't have to be a member of the union to get this. |
| EXP | Job expenses | We have included £(allowance value) because you have previously claimed that amount against tax. We will carry on including this in your tax free amount unless you tell us it has changed. |
| PSUB | Professional subscriptions | You have previously claimed £[ALLOWANCE VALUE] for the subscriptions you pay to your professional body. We have approved this and will carry on putting £[ALLOWANCE VALUE] in your tax free amount unless you tell us it has changed. If it has, any new or additional payments must be made to a professional body the Inland Revenue recognises; we will check. |
| FPA | Foreign pension allowance | We have previously agreed that you are entitled to this tax relief. If you think our figure is wrong, or your circumstances have changed, please tell us. |
| CHR | Gift aid payments | Because we expect you to pay tax at [HIGHER TAX RATE] % we have included £ [ALLOWANCE VALUE] in your tax free amount – this will give you higher rate tax relief on your Gift Aid payments. (The charity may ask you to give a declaration that you are a UK taxpayer.) If your payments will be higher, or lower, this year please let us know; your code will need changing. |
| PPR | Higher rate tax relief on pensions you're paying into | The payments you make for a personal pension when you retire are made after basic rate (basic rate band)% tax relief but, because we expect you to pay tax at (higher rate band)% this year, you are entitled to further relief. We have included £(allowance value) in your tax free amount to give you this further tax relief. If you have stopped paying, or the amount has changed, please tell us. |
| LOAN | Loan interest | We have included
£(loan interest) for the loan interest we expect you to pay
this year.
If you will pay off the loan during this year or if you think our figure is wrong please tell us and we will change your code. |
| LOSS | Loss relief | We have previously agreed that you are entitled to loss relief. If you think our figure is wrong, or your circumstances have changed, please tell us. |
| MP | Maintenance payments | Tax relief for the
maintenance you pay is worth £(maintenance allowance x 10%) to
you. You get this by having £(maintenance allowance) included
in your tax free amount.
This relief will end when your payments stop or, if they’re for a child, when that child reaches 21. If you think our figures are wrong, please tell us. |
| RAR | Payments towards a retirement annuity | We have included the £ [ALLOWANCE AMOUNT] you told us you pay each year towards a retirement annuity. If you have stopped paying, or the amount has changed, please tell us. |
Deductions
| COP Indicator | P2 Description | P2 Standard Note |
| ELR
[In use up to 5 April 2008, not used from 6 April 2008] | Adjustment to 10% rate band | The way the tax tables
that employers use work means [EMPLOYER NAME] and your other
employer will both tax you at [LOWER RATE]% on [LOWER RATE BAND].
Without this adjustment you would pay too little tax at [BASIC RATE]% and too much at [LOWER RATE]%, so that at the end of the year you would owe tax. This should sort it out. Please contact us if you would like us to talk this through with you. |
| BRR | Adjustment to 22% rate band | The way the tax tables
that employers use work means [EMPLOYER NAME] and your other
employer will both tax you at [BASIC RATE %]% on £[BASIC RATE
BAND].
Without this adjustment you would pay too little tax at [HIGHER RATE %]% and too much at [BASIC RATE%]%, so that at the end of the year you would owe tax. This should sort it out. Please phone if you would like us to talk this through with you. |
| PPA | Annuity | This is the amount of
pension annuity we expect you to receive in the year to 5 April
[TAX YEAR END DATE].
Please contact us if you think our figure is wrong. |
| BC | Balancing charge | Please contact us if you think our figure is wrong. |
| MAW | Married couple's allowance to your wife | You or your wife have
chosen to have half the minimum married couple’s allowance
each so [MARRIED ALLOWANCE TO WIFE] comes off your tax free amount.
Or You and your wife have agreed that she will have the minimum married couple’s allowance so [MARRIED ALLOWANCE TO WIFE] comes off your tax free amount. |
| SERV | Service benefit | Please contact us if you think our figure is wrong. |
| There are a number of car
benefit notes depending on the circumstances of the customer
record.
The car benefit notes are summarised below | ||
| NCAR
in code P2 issue for CY | Car benefit | We understand you have
now, or previously, had a company car from your employer. You have
to pay tax on the benefit of using an employer’s car for your
private motoring. By taking into account the
we have worked out the benefit to be £ [DEDUCTION VALUE]. If you want to check our figure please contact us or go to www.hmrc.gov.uk/cars. If you think we have got it wrong, please tell us. (We work out the benefit differently if your company car was registered before 1 January 1998 – please contact us if you need this information.) |
| NCAR
in code CAR DISCOUNT note included in format 2 P2 issue for CY | Car benefit | We understand you have
now, or previously, had a company car from your employer. You have
to pay tax on the benefit of using an employer’s car for your
private motoring. By taking into account the
we have worked out the benefit, after taking off the environmentally friendly car discount, to be £ [DEDUCTION VALUE]. If you want to check our figure please contact us or go to www.hmrc.gov.uk/cars. If you think we have got it wrong, please tell us. |
| NCAR
in code NEW CAR included in format 2 P2 issue for CY | Car benefit | We understand you now
have a company car from your employer. You have to pay tax on the
benefit of using an employer’s car for your private motoring.
By taking into account the
we have worked out the benefit to be £ [DEDUCTION VALUE]. (This amount will be higher next year because you will have the use of the car for the full year.) This may mean that between 6 April [TAX YEAR START DATE] and the date [EMPLOYER NAME] used the old code for the last time you will have had the benefit of too much tax free amount, and therefore owe some tax. See the Special Note for more information. If you want to check our figure please contact us or go to www.hmrc.gov.uk/cars. If you think we have got it wrong, please tell us. |
| NCAR
in code CAR DISCOUNT and NEW CAR note included in format 2 P2 issue CY | Car benefit | We understand you now
have the use of a company car from your employer. You have to pay
tax on the benefit of using that car for your private motoring. By
taking into account the
we have worked out the benefit, after taking off your environmentally friendly car discount, to be £ [DEDUCTION VALUE]. (This amount will be higher next year because you will have the use of the car for the full year.) This may mean that between 6 April [TAX YEAR START DATE] and the date [EMPLOYER NAME] used the old code for the last time you will have had the benefit of too much tax free amount, and therefore owe some tax. See the Special Note for more information. If you want to check our figure please contact us or go to www.hmrc.gov.uk/cars. If you think we have got it wrong, please tell us. |
| NCAR
in code P2 issue for CY+1 | Car benefit | We understand you have a
company car from [EMPLOYER NAME]. You have to pay tax on the
benefit of using that car for your private motoring. By taking into
account the:
we have worked out the benefit to be £ [DEDUCTION VALUE]. If you want to check our figure please contact us or go to www.hmrc.gov.uk/cars. If you think we have got it wrong, please tell us. (We work out the benefit differently if your company car was registered before 1 January 1998 – please contact us if you need this information.) |
| NCAR in code,
Leaver record P2 issue for CY+1 | Car benefit | We understand you had a
company car at your previous employment and we have assumed your
next employer will also provide one. You have to pay tax on the
benefit of using an employer’s car for your private motoring.
By taking into account the
we have worked out the benefit to be £ [DEDUCTION VALUE]. If you want to check our figure please contact us or go to www.hmrc.gov.uk/cars. If you think we have got it wrong, please tell us. (We work out the benefit differently if your company car was registered before 1 January 1998 – please contact us if you need this information.) |
| NCAR
in code CAR DISCOUNT note included in format 2 P2 issue for CY+1 | Car benefit | We understand you have a
company car from [EMPLOYER NAME]. You have to pay tax on the
benefit of using that car for your private motoring. By taking into
account the
we have worked out the benefit, after taking off the environmentally friendly car discount, to be £ [DEDUCTION VALUE]. If you want to check our figure please contact us or go to www.hmrc.gov.uk/cars. If you think we have got it wrong, please tell us. |
| NCAR
in code Leaver record CAR DISCOUNT note included in format 2 P2 issue for CY+1 | Car benefit | We understand you had a
company car from your previous employer and we have assumed your
next employer will also provide one. You have to pay tax on the
benefit of using an employer’s car for your private motoring.
By taking into account the
we have worked out the benefit, after taking off the environmentally friendly car discount, to be £ [DEDUCTION VALUE]. If you want to check our figure please contact us or go to www.hmrc.gov.uk/cars. If you think we have got it wrong, please tell us. |
| FUEL and NCAR
In code | Fuel benefit | We also understand that
you get free fuel for your private motoring in the car. You will
have to pay tax on this benefit, too, which is worked out by
multiplying [CAR FUEL BENEFIT MULTIPLIER] by the fixed percentage
based on its CO( emissions. We have worked out this benefit to be
£ [DEDUCTION VALUE]. If you want to check our figure please
contact us or go to our web site. If you think we have got it
wrong, please tell us.
(We work out the benefit differently if your company car was registered before 1 January 1998 – please contact us if you need this information.) |
| FUEL but no car benefit in code | Fuel benefit | We understand that you
get free fuel for your private motoring in the car. You will have
to pay tax on this benefit, which is worked out by multiplying [CAR
FUEL BENEFIT MULTIPLIER] by the fixed percentage based on its CO(
emissions. We have worked out the benefit to be £ [DEDUCTION
VALUE]. If you want to check our figure please contact us or go to
www.hmrc.gov.uk/cars. If you think we have got it wrong, please
tell us.
(We work out the benefit differently if your company car was registered before 1 January 1998 – please contact us if you need this information.) |
| AP | Gift aid adjustment | We know you make payments to charity under Gift Aid but our estimate of your income suggests you won’t pay enough tax this year to match the tax the charity will reclaim from us. So we have reduced your tax free amount by £(deduction value) to make up the difference. Please contact us if you would like us to tell you more about this. |
| COMM | Commission | £[DEDUCTION VALUE]
is an estimate of the amount we think you will earn in commission
this year.
That £[DEDUCTION VALUE] is also taxable. So we have set aside £[DEDUCTION VALUE] of your tax free amount, so that your commission can be paid to you without tax being taken off. Please tell us if you think our figure is wrong. |
| BIK | Employer benefits*, or
**Other employer benefits
*If there is a first benefit present in the customer's tax code. **If any of the other benefits (CAR, VAN, FUEL, BNLN, MED, PHON or TEP) appear before BIK. | You have to pay tax on the value to you of benefits, or expenses, provided by your employer [EMPLOYER NAME]. If you want to know precisely how we have worked out £[DEDUCTION VALUE], please contact us. |
| AUB | Estimated Jobseeker's allowance | You have told us you expect to have breaks in your employment this year and that you will be claiming Jobseeker’s allowance. The allowance is taxable so we have included an estimate. If you think our figure is wrong, or you will not be claiming the allowance, please let us know. |
| FP | Forces pension | This is the amount of forces pension we have estimated you will be receiving in the year to 5 April (tax year end date). Please tell us if think our figure is wrong. |
| INT | Interest without tax taken off (gross interest) | We know interest is paid
to you, without tax being taken off it first. But it is taxable so
we have set aside some of your tax free amount to take care of the
tax due on it.
The estimated figure we have included may be slightly lower than you would expect. This is because tax on interest is due at a special rate, [SAVINGS TAX RATE]% (if your total income is between £[NET CODING ALLOWANCES + LOWER RATE BAND] and [NET CODING ALLOWANCES + LOWER RATE BAND +BASIC RATE BAND]). If we did not lower the estimate you would pay too much tax on your interest. Please contact us if you would like us to tell you more about this. |
| BNLN | Loan from your employer | You have to pay tax on
the benefit of paying no interest, or interest at less than the
official interest rate, on your loan from [EMPLOYER NAME].
[DEDUCTION VALUE] is the difference between the interest you pay and what you would pay if interest was charged at the official rate. |
| MED | Medical insurance | You have to pay tax because [Employer name] pay, or provide, private medical insurance for you. |
| AAE | Other earnings (or pension) | We have set
£[DEDUCTION VALUE] of your tax free amount against your other
earnings or pensions.
We will check at the end of the year that you have paid the right amount of tax. |
| DEI | Other earnings | £[DEDUCTION VALUE]
is our estimate of your other earnings, apart from your [EMPLOYER
NAME] employment or pension. These earnings are taxable but no tax
will be taken off during the year.
Instead we have set aside £[DEDUCTION VALUE] of your tax free amount to take care of the tax due. Please tell us if you think our estimate is wrong. |
| OE | Other earnings | We have set £
[DEDUCTION VALUE] of your tax free amount aside, so that your other
earnings can be paid to you without tax being taken off (up to
£[DEDUCTION VALUE]).
But if they turn out to be more than £[DEDUCTION VALUE] they will be taxed; we will check at the end of the year. |
| DUI | Other income (not earnings) | We have set aside
£[DEDUCTION VALUE] of your tax free amount to cover the tax
due on our estimate of your other income.
Please tell us if our figure is wrong; you could pay the wrong amount of tax. |
| OCCP | Other pension | This is the amount we
estimate you will receive in the year to 5 April [tax year end
date].
Please tell us if you think our figure is wrong. |
| PTE | Part time earnings | £ [DEDUCTION VALUE] is an estimate of the amount we think you will earn at your other employment(s) this year. That £ [DEDUCTION VALUE] is also taxable. We have set £ [DEDUCTION VALUE] of your tax free amount aside, so that your other earnings can be paid to you without tax being taken off. |
| IFP or FL | Property income | The income you get from
the property, or land, you let is taxable. We have included an
estimate of what we think you will receive this year.
We have set £[DEDUCTION VALUE] of your tax free amount aside, to take care of the tax due on it. Please tell us if you think our figure is wrong. |
| PSP | Public services pension | This is the amount of
public services pension we estimate you will receive this year.
Please tell us if think our figure is wrong. |
| UPC | Reduction to collect unpaid tax £(tax unpaid) | You owe £[UPC VALUE]
tax from a previous tax year – you may remember us telling
you about this before.
By reducing your tax free amount by £ [UPR VALUE] we expect you to pay tax at [LOWER RATE] % (tax rates are explained in note [Final Note No] below) on an extra £ [UPR VALUE] this year, which should collect the amount you owe (£[UPR VALUE] at £[LOWER RATE]% is £[UPC VALUE]). Note: the P2 note will show the variations of rate for basic rate and higher rate customers; the notes will read £[BASIC RATE] and £[HIGHER RATE] respectively. |
| HRA | Savings income taxable at 40% | Savings income –
that is interest from banks or building societies etc or company
dividends - is usually taxed before it is paid to you (tax at
[SAVINGS RATE]% on interest and [LOWER RATE]% on dividends).
As you will be paying some of your tax at [HIGHER RATE]%, extra tax will be due on your savings income. Making this adjustment to your tax free amount collects the extra tax. You can make this payment directly if you prefer; if so, please contact us. |
| TEP | Taxable expenses payments | These are for expenses payments made by [employer name](and any previous employer in this tax year) for expenses such as using your own car or telephone on your employer's business. |
| IB | Taxable incapacity benefit | We have included an
estimate of the benefit you are likely to receive this year.
If you think our figure is wrong, please tell us. |
| PHON | Telephone | You are taxable on the
value to you of your employer, [employer name ](and any previous
employer in this tax year), paying your home telephone expenses.
Please contact us if you want to know precisely how this is worked out. |
| TIPS | TIPS | £[DEDUCTION VALUE]
is an estimate of the amount we think you will earn in tips this
year.
That £[DEDUCTION VALUE] is also taxable. So we have set £[DEDUCTION VALUE] of your tax free amount aside to take care of the tax due on your tips. Please tell us if you think our figure is wrong. |
| VAN | Van benefit | You have to pay tax on
the value to you of using your employer’s van privately. We
believe
and so the standard charge [DEDUCTION VALUE] applies. Please tell us if you think our figure is wrong, as the charge is reduced if the van is only available for part of the year, or is unavailable for 30 or more consecutive days, or [EMPLOYER NAME] insist you pay something for your private use of the van. If fuel is provided for private use of your company van you may have to pay tax on a standard amount of [VAN FUEL]. Your employer will tell us after the end of the tax year about any benefits you receive. Please contact us if you get free or subsidised fuel for private use of the van from your employer so that we can adjust your code. (You will not have to pay tax, and you do not need to contact us, if you mainly use the van for work and the only journeys you make in it are work journeys and travelling between home and work). |
| FUEL
(where VAN in code) | Fuel benefit | We understand that you get free fuel for your private motoring in a company van. You will have to pay tax on this benefit, too. Where fuel is provided for motoring in a company van a standard amount of [VAN FUEL] will apply. We have worked out the benefit to be £ [DEDUCTION VALUE]. If you want to check our figure please contact us or go to our web site. If you think we have got it wrong, please tell us. |
| FUEL
(VAN + NCAR in code) | Fuel benefit | We also understand that
you get free fuel for your private motoring. You will have to pay
tax on this benefit, too. Fuel for motoring in the car is worked
out by multiplying [CAR FUEL BENEFIT MULTIPLIER] by the fixed
percentage based on its CO2 emissions. If fuel is provided for
motoring in the company van a standard amount of [VAN FUEL] will
apply. If fuel is provided for your car and van we will add the
amounts together. We have worked out this benefit to be £
[DEDUCTION VALUE]. If you want to check our figure please contact
us or go to our web site. If you think we have got it wrong, please
tell us.
(We work out the benefit differently if your company car was registered before 1 January 1998 – please contact us if you need this information.) |
| EWO | Widow's and orphan's adjustment | Please contact us if you think our figure is wrong. |
| NIB
(See the table of special notes for information about using the special notes EST NIB, NEW NIB and NEW BENEFIT with NIB). | Your state pension/state benefits | We know you receive the state pension or another taxable state benefit and we have estimated you will receive £ [DEDUCTION VALUE] this year. The pension or state benefit is taxable but the Department for Work and Pensions, who pay it to you, cannot take tax off the payments. So we have used some of your tax free amount to take care of the tax due on your state pension or benefits £ [DEDUCTION VALUE]. |
