Tax Code Guide

SD3

Scottish Tax Code SD3

What does this code mean?

SD3 is the highest Scottish income tax rate at 48%, applied to income from secondary sources when primary income already exceeds the top rate threshold. This rate was introduced as Scotland expanded its income tax bands beyond the UK standard structure.

Who gets this code?

The highest-earning Scottish taxpayers with significant secondary income.

Is it correct?

Check your latest P45 or Payslip to see if this matches your current situation.

Think you overpaid on SD3?

If your tax code was wrong for even a few months, HMRC might owe you money. Upload your P60 or Payslip to check instantly.

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