There will be times when the IRD will make contact with you or your employee to request an alteration to their tax code.
To change an employee's tax code, head over to the employee's profile. Then select the standard pay tab. Here you will see a drop-down menu with all the of all the tax codes.
Once you have selected the correct tax code scroll to the bottom of the page and click the blue save button.
Make sure to make this change before you add the employee to a pay run.
If you have a notice from the IRD to deduct student loan at a special rate you’ll need to select the tax code STC and select the option that applies.
Here is some further information on this process.
For more information on tax codes please refer to the IRD.