Learn how to set up notification settings, enter HMRC credentials in QuickBooks and get answers to frequently asked questions about tax code notifications.
The Quickbooks tax code notification feature for Standard Payroll automatically updates employee's tax codes without the need to manually enter the new tax code.
Note: For this feature to work you need to log into your HMRC PAYE dashboard and ensure all notice options are set to Yes. To do so:
- Sign in to the HMRC PAYE dashboard.
- Navigate to Messages.
- Select Notice Preferences and Notice Options which will allow you to set notices to Yes. After this has been done, any new notices will automatically update in QuickBooks.
If the notice option is not set to Yes, you'll see a banner in QuickBooks Payroll advising you that the PAYE reference is incorrect.
HMRC settings in QuickBooks
To receive notifications in QuickBooks you need to have your HMRC references entered in Payroll settings.
- Select the gear icon and choose Account and settings.
- In the Payroll tab, find HMRC reference and select the pencil icon to edit.
- Enter your PAYE reference.
- Enter the Accounts Office reference.
- Select Save.
If you are an accountant using payroll on behalf of a client, enter the credentials that allow you to retrieve notifications.
Tax code change notifications
There are three areas where the tax code change notifications will show in your QuickBooks. In the Employee list, the tax information found in the employee's details and when running payroll. Click the links below to see what they look like.