Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

PAYE Manual

HM Revenue & Customs
, see all updates

Coding: coding: general principles: work item 425 - SA auto coding - TEBEN indicator set (Action Guide)

Work item 425 will be generated where the TEBEN indicator is set on the individual’s PAYE record. The tax return information will relate to CY-1 but the work item will display as the CY tax year.

To deal with the work item follow steps 1 - 7 below. The guide is presented as follows

  Step 1
  Steps 2 - 5
  Steps 6 - 7

For details of how to use any of the PAYE Service functions, access the system help.

Initial action in all cases

1. Review
  * The individual’s record on the PAYE Service
  * Indicators set on the record
  * Any relevant notes

Update the record

2. Review the reason why the TEBEN indicator is set on the record. For more information about indicators refer to PAYE103065
Check COP History notes in Contact History, look for note TEBEN SIGNAL SET - TAX EQUALISED BENEFITS    
  3. If there is a valid reason review code for other items, ignore any benefits
  4. If there is no valid reason, remove the TEBEN indicator and fully review code and include any relevant benefits
    Note: IABD will be populated with information received from CESA, however where the work item is triggered
    * The values for non-PAYE income will not be restricted
    * The maximum 50 per cent K code will not have been calculated
    You should refer to action guide tax40002, and reduce the non-PAYE deductions where required before triggering a tax code calculation
  5. Update Contact History

Close the work item

6. Complete the work item notes
7. Close the work item