Tax Code BR Explained

Basic Rate — All income taxed at 20%

BR
All income taxed at 20%

What Does BR Mean?

BR means all your income from this job is taxed at the basic rate of 20%. This is typically used for a second job where your personal allowance is already used by your first job. No personal allowance is applied.

Is My Tax Code Correct?

If you think your tax code is wrong, you can check it on your payslip, through your HMRC online account, or by calling HMRC on 0300 200 3300. A wrong tax code means you're paying too much or too little tax.

All Common Tax Codes

CodeMeaning
1257L£12,570 personal allowance
BRAll income taxed at 20%
D0All income taxed at 40%
D1All income taxed at 45%
NTNo tax deducted
0TNo personal allowance
K-codesYou owe tax from elsewhere
W1 or M1Non-cumulative basis
S-prefixScottish income tax rates
C-prefixWelsh income tax rates

What BR Means

Tax code BR means all income from this employment is taxed at the basic rate of 20% with no Personal Allowance applied. This code is typically used for second jobs where your Personal Allowance has already been allocated to your main employment.

When This Code Is Used

You receive BR if you have a second job, or if HMRC does not have enough information to allocate your Personal Allowance. If BR is applied to your only job, this is likely an error — contact HMRC immediately, as you are being overtaxed by approximately £210/month (the tax on £12,570 of allowance at 20%).

Impact on Your Pay

On BR, every pound earned is taxed at 20%. On a £10,000 second income, you pay £2,000 in income tax. If this is your only job and BR is applied incorrectly, you could be overpaying by over £2,500/year. Always check your tax codes across all employments.

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Learn more: Full guide to UK tax codes