UK Tax Questions? Ask a UK Tax Advisor for answers ASAP
hi i understand you have an answer for me about the k4 code which replaced the my 578L code
A K code means the deductions in your coding exceed your personal allowances of £6475, therefore as well as paying 20% on your earnings/pension that the code is operating against, 20% tax is also being collected on the excess . A code of K4 indicates the excess in your circumstances is about £50 ie the last digit "0" is taken off and the "5" is rounded down to "4" ie K4.
thank you for the information given
No problem. Please "click" the accept button. Thank you Kind regards Andrew (baktax)