I believe this question has been raised before, so my apologies in advance.
Some clients have recently received new paye codes for 2006/2007 (mostly K codes) which take into account dividends that were paid in 2005/2006. Is there legislation to support this? Is HMRC just trying to accelerate the tax collection? Can we write and tell them that dividends will be declared on the 2006 Tax Return and ask for the paye code to be readjusted?
Many thanks
Steve
