The K M Links Game - January 2025 Week 1
Quizzes & Puzzles2 mins ago
br m1
4 Answers
I have gone on to a tax code for the first time in 5 years since becoming salaried.
Can anybody tell me what BR M1 means as a tax code?
Thank you.
Can anybody tell me what BR M1 means as a tax code?
Thank you.
Answers
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BR means basic rate, which means that you pay tax at the basic rate on the whole of your earnings from that job. At the moment, the basic rate is 22%, but it reduces to 20% on 6th April.
M1 means month 1, which is a method of calculating the tax due when your employer doesn't know how much you've earned previously. It doesn't really have any effect on a BR tax code, anyway. You may also find the M1 part disappears next month, as the new tax year starts then.
BR is normally used for your second job if you have more than one. If this is your only job, you need to contact your local tax office to find out why this code is being used.
M1 means month 1, which is a method of calculating the tax due when your employer doesn't know how much you've earned previously. It doesn't really have any effect on a BR tax code, anyway. You may also find the M1 part disappears next month, as the new tax year starts then.
BR is normally used for your second job if you have more than one. If this is your only job, you need to contact your local tax office to find out why this code is being used.
Thanks for that.
I really need to speak to my accountant I suppose.
My salary is under the 40 percent threshold, but the same job also pays me a self-contract hourly rate (for additional hours, not being paid twice).
Should I tell the tax office that the BR will therefore not apply so I can be taxed on my salary at 40 percent as well, or is that the job of the accountant?
The last thing I want is an additional tax bill at the end of the year for my salary which should be taken at source!!!!
If you are confused, then how do you think I feel!!!!!!!!!!!!!!!!!!!!
I really need to speak to my accountant I suppose.
My salary is under the 40 percent threshold, but the same job also pays me a self-contract hourly rate (for additional hours, not being paid twice).
Should I tell the tax office that the BR will therefore not apply so I can be taxed on my salary at 40 percent as well, or is that the job of the accountant?
The last thing I want is an additional tax bill at the end of the year for my salary which should be taken at source!!!!
If you are confused, then how do you think I feel!!!!!!!!!!!!!!!!!!!!
Well you've certainly confused me with your response to the good answer you got.
As stated above, BR means that the employer who has been given this code by HMRC will tax you at 20% from 6th April. You will not get taxed at the higher rate 40% figure - unless you exceed the Basic Rate threshold (which is about �34k in this FY and a bit more from 6th April).
As stated above, BR means that the employer who has been given this code by HMRC will tax you at 20% from 6th April. You will not get taxed at the higher rate 40% figure - unless you exceed the Basic Rate threshold (which is about �34k in this FY and a bit more from 6th April).
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