What Is an Emergency Tax Code and How Do You Fix It?

Seeing an emergency tax code on your payslip can be alarming — especially when your take-home pay suddenly drops. The good news is that emergency tax is usually temporary and fixable. Here’s what it means, why it happens, and how to get it sorted quickly.

🚨 What Is an Emergency Tax Code?

An emergency tax code is used when HMRC doesn’t yet have enough information about your income. It ensures you pay some tax rather than none — but it often means you pay more tax than necessary at first.

Common emergency tax codes include:

• 1257L W1
• 1257L M1
• BR
• D0

🔍 Why You’ve Been Put on Emergency Tax

This usually happens if you:

• Start a new job without a P45
• Have more than one job
• Return to work after a break (maternity, sickness, unemployment)
• Change from self-employed to employed
• Have incomplete HMRC records

It’s very common in January when people switch jobs.

💰 How Emergency Tax Affects Your Pay

With emergency tax:

• You may lose access to your full tax-free allowance
• Tax is calculated per pay period, not annually
• Your take-home pay may be noticeably lower

This is frustrating — but temporary.

🔧 How to Fix an Emergency Tax Code

Step 1: Check your payslip

Confirm the tax code showing and when it was applied.

Step 2: Log in to your HMRC Personal Tax Account

You can:

• View your current tax code
• Check what income HMRC thinks you earn
• Update missing job details

Step 3: Contact HMRC if needed

If something’s clearly wrong, HMRC can correct your tax code — often within days.

Once updated, your employer applies the new code automatically.

💸 Will You Get a Refund?

Yes.
Any overpaid tax is usually refunded through your wages once the correct tax code is applied — no separate claim needed.

🧾 How This Affects Your P60

Emergency tax affects your payslips, which roll into your P60.
Fixing it early in the year helps avoid messy corrections later.

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