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A car code
I have received a coding notice for a client who has two employers: one an ‘ordinary’ job that pays a salary; the other as director of a small company through which he is provided with a company car but from which he draws no salary.
He also has significant investment income.
This year for the first time HMRC have included an adjustment in the PAYE code for his salaried employment in respect of the car benefit from his directorship.
I realise that it is open to them to include entries in a tax code that take account of other income not directly related to that particular employment e.g. state pension savings income at higher rates but I’ve never come across benefits from a different employment being included before.
Is this permissible or can I insist that it is removed...
