.png)
.png)
After consultation, legislation was introduced in Finance Bill 2009 to enable HMRC to collect more tax debts through PAYE.
Secondary legislation has been published to make the necessary amendments to the PAYE legislation to implement the original primary legislation, as well as to increase the coding threshold from £2,000 to £3,000 to allow more debts to be collected in this way.
The new regulations will permit older self assessment debts and tax credit overpayments to be coded out from April 2012.
The limit will be increased from this date for self assessment generally, so those filing returns for tax year 2011/12 will be able to have an underpayment less than £3,000 collected via their tax code.
Comments on the secondary legislation should be emailed no later than 12 May 2011.
