Skip to content
logo Knowledgebase

Tax code changes

Created on  | Last modified on 


This guide explains how to change employee tax codes at the beginning of a new tax year in Sage 50cloud Payroll.


What you need to do in the 2021/2022 tax year

There are no tax code changes to make. However, you are still required to clear the Week 1/Month 1 flag.

  1. On the toolbar, click Clear, then click Swap.
  2. Click Tasks, then click Global Changes.
  3. Click Tax codes, then click Clear W1/M1 flag.
  4. Click Yes, then click OK.

    P9(T) notification

    You may also receive changes to tax codes for individual employees using form P9(T) from HM Revenue & Customs (HMRC). You can receive this either in paper format by post, or electronically through the HMRC Secure Mailbox.

    If you receive any P9 forms from HMRC, you should apply these after you make the changes above as it can cause codes to be increased incorrectly. Read more >

    Did this help?

    We're always looking to improve our content based on your feedback so if you found this guide helpful, you can easily let me know by using the options below.

    Benefits for your employees above and beyond their payslips

    We want to help your business where we can. That's why we are offering Sage Employee Benefits free to Sage customers for the first three months.

    Leave your details and we'll call you back