U
UK Tax Tools

Tax Code D0 Explained

All income from this job or pension taxed at 40% higher rate, with no allowance or basic rate band.

At a glance — D0

Personal Allowance
£0
Region
UK-wide (rUK / Wales)
Cumulative?
Yes
Code type
Flat-rate / special

What does D0 mean?

All your income from this job or pension is taxed at the higher rate of 40%.

How much tax will you pay on D0?

Annual income tax HMRC would deduct on 2025-26 rates for a range of salaries, assuming the full year on this code. National Insurance is additional and the same across the UK.

Annual salary England / Wales / NI — income tax Effective rate Take-home (pre-NI)
£20,000 £8,000 40.0% £12,000
£30,000 £12,000 40.0% £18,000
£50,000 £20,000 40.0% £30,000
£80,000 £32,000 40.0% £48,000
£100,000 £40,000 40.0% £60,000

For Scottish / rUK side-by-side, or to model your own salary, student loan and pension contributions, use the tax code checker.

What you'll actually pay vs the standard code

D0 compared with 1257L — the standard code most single-job employees with no adjustments are on — at the same salary, 2025-26 rates.

Annual salary D0 tax 1257L tax Difference
£30,000 £12,000 £3,486 +£8,514
£50,000 £20,000 £7,486 +£12,514
£80,000 £32,000 £19,432 +£12,568

Should you be on tax code D0?

D0 usually applies to a second job, pension or one-off payment. If you only have one source of income, you almost certainly should be on 1257L (or the S / C equivalent), so contact HMRC to correct it.

Why you have this code

  • A second job or pension is being taxed at 40% because your main income already uses your Personal Allowance and basic-rate band
  • HMRC has been told your main employment already pushes you into higher-rate tax

How to fix it if D0 is wrong

  1. Check your current code in the HMRC app, your Personal Tax Account, or your latest P2 coding notice or payslip.
  2. New job with no P45? Ask your employer for a Starter Checklist — completing it correctly is what moves you off a temporary code.
  3. Not sure what your P45 figures mean, or already overpaid? See the P45 box-by-box guide to decode what your employer reported, or run the tax refund estimator to check what you might be owed.
  4. If HMRC agrees your code was wrong, most in-year corrections refund automatically through payroll; larger over- or underpayments are settled via a P800 calculation after the tax year ends.

Related tax codes

FAQ

Can I stop the D0 tax code being applied?

Only if it is wrong — D0 is correct when a second income genuinely falls entirely within the higher-rate band. If your total income does not justify it, contact HMRC or complete a Starter Checklist to have it reviewed.

Is D0 always for a second job?

Almost always — D0 assumes your Personal Allowance and basic-rate band are fully used elsewhere, which is typical for a second job, pension, or other secondary income for a higher-rate taxpayer.

Check your own code: enter any HMRC tax code into the free tax code checker — it decodes the letters and number, shows your Personal Allowance, and estimates your take-home using 2025-26 or 2026-27 rates.

For the full plain-English guide to every UK tax code letter, prefix and suffix, see UK Tax Codes Explained 2026-27.

Sources

Tax code rules from gov.uk/tax-codes. Income tax rates from HMRC. Effective tax figures computed live from central configuration — correct for 2025-26.

Related Calculators