Taxable pay tables and codes Form P7X is issued automatically to all employers with a PAYE Scheme reference number, at or around the start of May. Form P7X (2007) authorises employers and pension payers to put into effect any Budget changes to tax codes and bandwidths from the first pay date after 17 May 2007, backdated to the start of the tax year. The income tax bands (not tax rates) increase in line with inflation (3.6%) for tax year 2007/08 as follows:
New tables SR + B to D and calculator tables will be issued, dated May 2007. Tables A, the Pay Adjustment Tables, have not changed since 6 April 1993. Budget-related tax codes are dated 6 May 2007. There is no further general uplift of suffix tax codes. The emergency tax code is 522L for 2007/08 based on an annual personal allowance of £5,225 for an individual aged under 65. The PAYE threshold is set at £100 per week (£435 per month). No tax code notifications will be issued between 7 and 26 May 2007. P6 (T) code notices, lists and electronic equivalent dated 5 May or earlier or from 27 May should be applied as normal from the next pay date after receipt. Employees leaving prior to 18 May 2007 are not affected by Form P7X (2007) changes. As a general rule, an employer is liable for any shortfall of PAYE arising from a mistake in deductions, such as where the wrong version of the taxable pay tables are applied in a tax year. Form P7X (2007) and taxable tables SR + B to D are available to order from HM Revenue and Customs web pages at: http://www.hmrc.gov.uk/employers/emp-form.htm. Paul Tew, Pay Magazine Snowdrop provides a range of Payroll solutions that are fast, flexible and easy-to-use, to suit the many and varied needs of each organisation. To find out more about the software and services that we provide, please click here >> 
|