Sometimes when people have something such as a Pension and Employment or Trading income then rather than having one tax code for one income source and nothing for the other then two codes are issued.
This normally only happens where either the tax payer or their representitive has requested the code to be broken down.
There can only ever be one L code for a taxpayer.
The 408L will be for emplyment and the 408T for the other income source (has the taxpayer recently started drawing a pension? Is this an indicator that the client is withholding information from you?).
Also, is this division of the tax code the most beneficial for the taxpayer?
hope that helps for starters,
kind regards,
Shaun.
__________________
Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
The radical change from a 'normal' tax code, virtually splitting it in half, does, as Shaun suggests, imply a new income source. Has the person reached pension age or started another job?
If they are for different sources, it should clearly say so in the opening blurb, following something like "You need a tax code so (XXXXXXX employer/pension provider etc) can work out how much tax to take off..............". You can also check the Tax reference to check which code is meant for which PAYE Scheme.
Unfortunately, it seems, if the Revenue Officer makes an omission or mistake, once they click or press the 'send' button, there is no way of preventing it landing on the desk of both the employer and the taxpayer. If an amendment is then made on the same day, there is no way of distinguishing which code was printed last, eg. which is the correct one.
You'll probably need to contact the Revenue if they are for the same PAYE Scheme and with the same date. Also, you might have information that the Revenue don't yet have. That latter situation shouldn't happen as often next year, but I'd expect code Notices to be issued far more often.
