I am currently studying payroll and I came across an interesting thing and I am wondering if anyone can help me with this.
In the office where I work the payroll manager was putting the wages into the software (money soft) and he put £596 as the wage for this month for one of the employees and it came up as £661 NET.
He called in the employee and she said she had spoken to HMRC about a tax overpayment and they said they will take it off next month.
There was no new tax code issued and I have never even heard of such a tax code that does this and how did money soft know to do this.
Can anyone shed some light on this?