Tax codes, 2026/27

SBR tax code

SBR means all your income from this job or pension is taxed at the Scottish basic rate, 20%, with no tax-free allowance. It is usually used for a second job or pension.

SBR taxes all pay from this job at 20%

With SBR, all of your income from this job or pension is taxed at the Scottish Income Tax 20% basic rate. There is no tax-free allowance on it and no 19% starter rate. HMRC's guide for employers says SBR is for a second job or pension. BR is the version used in England and Northern Ireland, and CBR the Welsh version, both also at 20%.

Pay from this job a yearTax a year with SBRTax a monthTax a year on S1257L
£5,000£1,000.00£83.33£0.00
£10,000£2,000.00£166.67£0.00
£15,000£3,000.00£250.00£461.70
£20,000£4,000.00£333.33£1,446.33
£30,000£6,000.00£500.00£3,451.07

For a full tax year. The last column shows the same pay taxed on its own with the standard allowance and Scottish rates, as it would be if this were your only job.

SBR is usually for a second job or pension

You only get one Personal Allowance for each tax year, and it is usually given to the job that pays you the most. Another job or pension then gets a code with no allowance. For Scottish taxpayers there are five codes that tax all the pay from the job at one rate: SBR at 20%, and SD0, SD1, SD2 and SD3 at 21%, 42%, 45% and 48%.

If your main job pays less than £12,570, SBR may take too much

If your main job pays less than the allowance, part of the unused allowance may be moved to your other job, so less of its pay is taxed. GOV.UK says to contact HMRC to check if your Personal Allowance can be split between your jobs. If SBR is on your only job or pension, ask HMRC to check it.

How to check or fix your tax code

  1. Find your code on your payslip, in a tax code letter from HMRC, or by signing in to HMRC's Check your Income Tax service or the HMRC app.
  2. If it looks wrong, use the same online service to check your jobs, pensions, estimated income and company benefits, and update anything that is wrong or missing. GOV.UK says this is the quickest way.
  3. If you have just started a new job, GOV.UK says to wait 35 days for HMRC to get your new income details before contacting them. If you left a job without a P45, ask your old employer for one.
  4. HMRC will tell you and your employer the new code within 15 working days. If you paid too much tax, your employer usually refunds it through your pay once the new code is used.
  5. If you cannot use the online service, contact HMRC about Income Tax.

Only HMRC can set or change your tax code. This page explains what codes mean; it is not personal tax advice. Sources: GOV.UK: If you think your tax code is wrong; GOV.UK: If you've paid too much or too little tax; GOV.UK: Tax codes.

Questions about SBR

What does SBR mean on my payslip?

SBR means all your income from this job or pension is taxed at the Scottish basic rate, 20%, with no tax-free allowance. It is usually used for a second job or pension.

Is SBR the same as BR?

Both tax all the pay from the job at 20%. SBR is the Scottish version, used if you pay Scottish income tax. BR is used in England and Northern Ireland, and CBR in Wales.

Does SBR use the 19% starter rate?

No. With SBR every pound from this job is taxed at 20%. The starter rate applies to the first slice of income above your allowance, which is normally taken up by your main job.

Other tax codes

This page explains what the SBR code means under GOV.UK and HMRC guidance for 2026/27. It is general information, not personal tax advice. Only HMRC can confirm or change your tax code. Tax figures are estimates for a full tax year at steady pay.

Sources

Rules checked 28 October 2026 against: GOV.UK: What your tax code means; GOV.UK: Understanding your employees' tax codes; HMRC PAYE Manual PAYE11025: codes with no allowances or deductions; GOV.UK: Scottish Income Tax; GOV.UK: How tax works if you have more than one job; GOV.UK: If you've paid too much or too little tax. How we calculate.

Tax rates and thresholds are taken from HMRC, GOV.UK and Scottish Government publications. Contains public sector information licensed under the Open Government Licence v3.0.