PAYE11055 - coding: codes: how they are used and calculated: special codes for sub-sources

Sometimes a main source pay or pension figure is less than the allowances due. If the taxpayer has a sub-source, the allowances can then be used there.

In these cases, if you give suffix L, P, V or Y in the main source code, the taxpayer will not gain from a standard increase in that code. We can however, use these special rules

• Allocate the appropriate suffix L, P, V or Y to the sub-source at which you have given the balance of allowances
• Use the suffix T at your own reference and at any other sources. In this way, the taxpayer will receive the benefit of any increase in the main allowances, as soon as the code is increased by the standard amount