TAX on Mat Leave

[taylea86]

Sorry if this is already on here somewhere, first timer over here so i apologise for duplicating, haven't figured out how to search properly.

I've been on mat leave since April and i was wondering if I need to speak to HMRC to let them know as my income will be decreasing.

I've checked their website but it just talks about stat mat pay and nothing about if you need to advise them of changes. I really can't afford to be taxed incorrectly and I'm worried my tax code for this year is based on my higher earnings last year.

Any guidance or advice would be appreciated.

I presume you're on PAYE? In which case you're taxed on what you earn, and it is accumulative during the year. Your tax code will be the same regardless of whether you earn £100,000 or nothing. It will only change if you owe or are owed tax from other sources.

You're lucky with having your mat leave starting in April - it does depend on what part of the year your mat leave falls. Are you having a full year out of work or will you be going back before next April? If you are on paye, and don't go back to work until April 2018, and your maternity pay in total is less than your tax code (usually about £11,000 depending on your circumstances) then you will just pay no tax this year.