As part of this year’s Budget the “income-under-$9,880 tax credit” was repealed effective from 1 April 2012.
Employees currently using the “ML” or “ML SL” tax codes may end up with tax to pay if they request or receive a Personal Tax Summary (PTS) or file an IR3 return. From 1 April 2013 these tax codes will no longer be able to be used.
Inland Revenue have written to employees who are using the “ML” or “ML SL” advising them that these tax codes won’t be available from 1 April 2013 and to reduce the chance of a tax bill they should to change their tax code now by completing an IR330 and giving it to their employer.
As part of our payroll service we will contact you if you have existing employees that should change their tax code. The updated IR330 form, with “ML” and “ML SL” tax codes removed is available for download here. If you have retained printed copies that were published prior to September 2012 we suggest you replace them with the updated form.