The Income Tax (Pay As You Earn) Regulations 2003

• Use the tax code provided by HMRC for each employeeEmployer

• Apply HMRC‑determined PAYE code for high‑income child benefit chargeEmployer

• Limit employee debt recovery under PAYE codesEmployer

• Provide accurate employee information for PAYE tax code determinationsEmployer

• Notify employees of their PAYE tax codeEmployer

• Notify employees of amended PAYE tax codesEmployer

• Use amended tax code when HMRC issues itEmployer

• Deduct or repay Income Tax based on employee tax codesEmployer
• Deduct or repay tax using employee’s PAYE codeEmployer

• Deduct and repay tax on a cumulative basisEmployer
• Use the cumulative basis to calculate employee taxEmployer

• Calculate and deduct or repay PAYE tax on cumulative basisEmployer

• Record actual payment dates on deductions working sheet for non-weekly/monthly payEmployer

• Use non-cumulative PAYE tax code when HMRC directsEmployer

• Apply non-cumulative (Week 1/Month 1) tax deductions when requiredEmployer
• Deduct PAYE tax on each relevant payment using non‑cumulative ratesEmployer

• Calculate PAYE deductions correctly for irregular or non-standard pay cyclesEmployer
• Deduct PAYE tax from irregular employee payments on the correct reference dateEmployer

• Aggregate multiple payments in a single period for tax calculationsEmployer
• Calculate PAYE tax on later payments using aggregate totalsEmployer

• Calculate tax and record payment dates for irregular pay periodsEmployer
• Record actual payment dates and apply non‑cumulative PAYE rulesEmployer

• Deduct PAYE tax on non-cumulative basis in short payment periods with extra pay daysEmployer

• Apply additional rate tax deductions for specific tax codesEmployer
• Deduct tax at the additional rate for employees with that codeEmployer

Unlimited fine

• Apply higher rate tax deductions for employees with a higher rate codeEmployer
• Deduct tax at higher rate for employees with higher rate codeEmployer

Unlimited fine

• Do not deduct or repay tax when an employee has a nil tax codeEmployer

• Provide PAYE details of post‑termination payment to employeeEmployer
• Provide retrospective tax details to former employeesAny Person

• Complete and issue Form P45 when an employee leavesEmployer

• Deduct PAYE tax on post‑termination payments and keep recordsEmployer
• Manage tax deductions for payments made after employment has endedEmployer

• Complete and submit Form P45 upon the death of an employeeEmployer
• Notify HMRC of employee death and handle PAYE on post‑death paymentsEmployer

• Complete and submit Form P45 upon the death of a pensionerEmployer
• Notify HMRC of pensioner death using Form P45Employer

• Give new employer P45 Parts 2 and 3Employee

• Process and record employee P45 details on commencementEmployer
• Process new employee’s Form P45 and send Part 3 to HMRCEmployer

• Record employee tax details from Form P45 and apply correct tax codeEmployer
• Update payroll records for new employees using Form P45Employer

• Record employee tax code from P45 and apply correct PAYE deductionsEmployer
• Use previous year's P45 details for employees starting before 25th MayEmployer

• Use emergency tax code for new employees and deduct tax non‑cumulativelyEmployer
• Use emergency tax code for new employees without a standard P45Employer

• Complete Form P46 for new employees without a P45Employer
• Submit Form P46 for new hires without a P45Employer

• Send Form P46 and use emergency tax code for new employeesEmployer
• Submit Form P46 and apply emergency tax code for new employees without a P45Employer

• Register new employees and deduct tax using the emergency codeEmployer
• Send Form P46 and use emergency tax code for new employeesEmployer

• Apply emergency tax code for new employees without a P45Employer
• Deduct tax using emergency code when employee has no P45Employer

Unlimited fine

• Use emergency tax code for employees starting without P45Employer

• Deduct tax at basic/emergency rate when no P45 and tax code unknownEmployer
• Use correct tax codes for new employees without P45sEmployer

• Register new employees and set up tax deductions without a P45Employer
• Submit Form P46 and apply basic‑rate tax deductionsEmployer

• Handle late presentation of employee Form P45 correctlyEmployer
• Process a P45 received after an employee has started workEmployer

• Complete and process late-presented Form P45 for new employeesEmployer

• Adjust PAYE tax deductions when HMRC issues a new tax codeEmployer
• Deduct PAYE tax using HMRC‑issued code after employee’s code is issuedEmployer

• Deduct tax at 0T and report pension payments to HMRCEmployer
• Duct tax and notify HMRC when an employee starts receiving a pensionEmployer

• Deduct tax and file Form P46(Pen) for former‑employer pensionsEmployer
• Submit Form P46(Pen) when a retiring employee starts receiving a pensionEmployer

• Process Form P45 and deduct tax for new pension recipientsAny Person

• Notify HMRC when paying a pension to a non-UK resident without a tax codeEmployer
• Send Form P46(Pen) to HMRC for non‑UK resident pensionersTrader

• Use emergency tax code and file P46(Pen) for new UK pensioners without P45Employer

• Process late-presented P45 forms from pensionersEmployer

• Calculate and deduct tax on employee benefits via PAYEEmployer
• Calculate and deduct tax for payrolled benefits in kindEmployer

Unlimited fine

• Recalculate taxable benefit when employment ends but benefit continuesEmployer
• Recalculate taxable benefit for employees leaving with continuing benefitsEmployer

• Adjust PAYE deductions when a benefit changes mid-yearEmployer

• Adjust final benefit payment if employee hasn’t fully paid the making‑good amountEmployer
• Adjust payroll for unpaid 'making good' benefit amountsEmployer

• Adjust employee fuel benefit payments when they fail to payEmployer
• Adjust payroll if employees fail to pay back private fuel costsEmployer

Unlimited fine

• Add outstanding credit-token benefit to employee's pay if not made good by 1 JuneEmployer

• Provide benefit statements to specified employeesEmployer
• Provide employees with a year-end statement of payrolled benefitsEmployer

• Deduct or repay tax on pension payments using the HMRC‑issued codeEmployer
• Use correct tax codes and adjust for prior payments for pensionersEmployer

• Deduct PAYE tax from notional payments and account to HMRC for shortfallsEmployer

• Repay tax to employees during unpaid leaveEmployer
• Repay tax to employees on unpaid leave and record nil paymentsEmployer

• Provide required certificates when claiming tax repayment after leaving employmentEmployee

• Update or create deduction working sheets for retrospective paymentsEmployer
• Update or create PAYE records for retrospective pay in closed tax yearsEmployer

• Create and maintain PAYE deductions working sheets for employeesEmployer
• Prepare and keep deductions working sheets for employee paymentsEmployer

• Give employees a P60 by 1 June each yearEmployer
• Provide every eligible employee with a P60 certificateEmployer

• Send P45/P46(Pen) to HMRC when a new pensioner startsEmployer

• Verify new employee PAYE information before submitting first RTI returnEmployer

• Deduct tax at basic rate and issue Form P45 for lump sum payments without a known codeAny Person

• Use tax code 0T when new employee details are missing from PAYE returnsEmployer

• Follow special PAYE procedure when new employee has no P45Employer

• Give employees a revised P60 after retrospective tax changesEmployer

• Deduct PAYE tax at Scottish upper rate where code requires itEmployer

• Submit payroll information to HMRC on or before mỗi paydayEmployer
• Submit real‑time payroll information to HMRC for each employee paymentEmployer

• Provide required PAYE information within 7 days of paymentEmployer
• Submit payroll information for exempt employees within 7 daysEmployer

• Provide PAYE information for specified payments within 7 daysEmployer
• Submit PAYE information within 7 days for same-day paymentsEmployer

• Report notional payment information within 14 daysEmployer
• Report notional payments via PAYEEmployer

• Notify service provider of relevant electronic payments and generate referencesEmployer
• Use specific references when paying employees via electronic methodsEmployer

• Notify HMRC if you have no PAYE payments or are closing your schemeEmployer
• Send required PAYE notification to HMRCEmployer

• Pay or recover PAYE balance with HMRC each tax periodEmployer

• Pay or recover PAYE adjustment after RTI amendmentEmployer
• Pay or recover tax adjustments for Real Time Information (RTI) returnsEmployer

• Calculate and pay tax or recover overpayments (non-RTI employers)Employer
• Pay or recover tax differences for each PAYE periodEmployer

• Pay PAYE tax to HMRC within 14 or 17 days of the tax period endEmployer

• Adjust PAYE payments for tax withheld during trade disputesEmployer
• Adjust PAYE when tax is withheld during a strikeEmployer

• Request HMRC to transfer tax liability from employer to employeeEmployer
• Request PAYE direction and appeal a refusalEmployer

• Appeal against an HMRC direction notice regarding unpaid income taxEmployee
• File an employee appeal against a PAYE direction noticeEmployee

• Comply with HMRC direction to recover tax from employeeEmployer

• Ensure correct PAYE deductions and cooperate with HMRC if tax is under‑deductedEmployer

• Submit amended PAYE return for past year if payments increaseEmployer
• Submit amended tax returns following retrospective changes to tax lawEmployer

• Submit annual PAYE return (Forms P35 & P14) to HMRCEmployer
• Submit your annual PAYE return (Forms P35 and P14)Employer

• Submit an annual return for certain low-paid or short-term employeesEmployer
• Submit annual Form P38A for non‑taxable employee paymentsEmployer

• Offset or claim a refund for overpaid PAYE taxEmployer
• Set off or reclaim excess PAYE tax after certificationEmployer

• Send additional PAYE return after unresolved trade dispute taxEmployer
• Submit an additional tax return following a trade disputeEmployer

• Pay PAYE tax owed if employer fails to deductEmployee

Unlimited fine

• Apply for a UKCS continental shelf workers certificateEmployer

• Keep records and report PAYE for offshore continental shelf workersContractor
• Register and maintain records for offshore workersEmployer

• Obtain and maintain a UKCS oil field licence certificateEmployer

• Submit quarterly PAYE returns as a specified employment intermediaryTrader
• Submit quarterly returns for agency workers if you are an intermediaryTrader

• Keep non‑PAYE records for three yearsTrader
• Keep records of payments for off-payroll workersTrader

• File annual P11D return of employee benefits and expenses to HMRCEmployer

• Provide employees with details of non‑cash earnings and benefitsEmployer
• Provide HMRC with details of employee benefits and non-cash earningsEmployer

• Report additional benefit details for benefits code employees on P11DEmployer

• Adjust benefit and expense values on annual tax returnsEmployer
• Include correct deductions and adjustments in annual other earnings returnEmployer

• Report company car changes to HMRC quarterly (Form P46 (Car))Employer

• Provide HMRC with details of large termination awardsEmployer
• Report high-value employee termination awards to HMRCEmployer

• Report any change to termination awards that exceed £30,000Employer
• Update HMRC if a termination award changes or exceeds £30,000Employer

• Lead employer must report combined termination awardsEmployer
• Submit termination award details to HMRCEmployer

• Provide employees with a P11D statement of benefitsEmployer
• Provide P11D benefit statements to employees by 7 JulyEmployer

• Provide employees with a statement of third-party benefitsTrader
• Provide statements to employees about unrelated payments or benefitsTrader

• Provide employees with copies of termination award informationEmployer

• Serve PAYE transfer notices on timeEmployer

• Review and action any HMRC Transfer Notices for unpaid taxAny Person

• Pay tax debts and interest following a transfer noticeAny Person
• Pay the specified amount to HMRC within 30 daysAny Person

• Claim repayment for overpaid PAYE or Apprenticeship LevyEmployer

• Review and respond to HMRC PAYE debt recovery noticesEmployer

• Respond to HMRC recovery notices for unpaid PAYE debtAny Person

• Pay any deemed employer PAYE debt (and interest) within 30 daysEmployer
• Pay deemed employer PAYE debt and interestResponsible Person

• Monitor for withdrawal of tax recovery noticesAny Person

• Directors may be held personally liable for unpaid company PAYEDirector or Officer
• Pay outstanding PAYE tax if you’re a directorDirector or Officer

• Appeal a personal liability notice for company PAYE debtAny Person
• Appeal personal liability notice within 30 daysDirector or Officer

• Keep PAYE records for at least 3 years after the tax year endsEmployer

• Submit quarterly PAYE returns if exempt from RTI electronic reportingEmployer

• Submit outstanding PAYE return information if you miss a filingEmployer

• Correct inaccuracies in PAYE real-time returnsEmployer

• Provide security as specified by HMRC noticeAny Person

• Apply for a reduction in HMRC tax securityEmployer
• Apply for a reduction in tax security held by HMRCAny Person

• Adjust security payments following a successful reduction applicationEmployer

• Failure to provide security for PAYE to HMRCEmployer

Unlimited fine

• Allocate new employees to a PAYE group when running multiple schemesEmployer

• Notify HMRC about tip-sharing arrangements by third partiesDirector or Officer

• Ensure PAYE duties are fulfilled after an employer’s deathEmployer
• Continue PAYE obligations following the death of an employerEmployer

Unlimited fine

• Take over PAYE obligations when you succeed to a businessEmployer

• Pay and recover PAYE tax when succeeding a business with an ongoing trade disputeEmployer
• Settle tax reporting and repayments when taking over a business during a strikeEmployer

• Calculate and report tax due under a PAYE Settlement Agreement (PSA)Employer
• Calculate annual PAYE Settlement Agreement taxEmployer

• Pay aggregate PAYE Settlement Agreement amount to HMRCEmployer
• Pay tax due under a PAYE Settlement Agreement (PSA)Employer

• Create and retain a signed written PAYE Settlement AgreementEmployer
• Ensure your PSA is in writing and signed by you and HMRCEmployer

• Pay interest on any PAYE tax that is paid lateEmployer
• Pay interest on late PAYE tax paymentsEmployer

• Record interest on overpaid PAYE taxEmployer

• Keep PAYE Settlement Agreement records for 3 yearsEmployer
• Keep records of PAYE Settlement Agreements (PSAs) for 3 yearsEmployer

• Apply basic rate tax to councillor allowances upon HMRC noticeEmployer

• Record councillor allowance payments and tax detailsEmployer

• Deduct basic‑rate tax from reserve payEmployer

• Do not deduct PAYE tax from reserve pay unless HMRC says it is dueEmployer

• State grounds when objecting to basic rate tax deductionsEmployee
• Manage objections to basic rate tax deductions for reservistsEmployee

• Submit a tax deduction appeal to the tribunalEmployer

• Respond to amended tax determinations for reservist employeesEmployer

• Provide tax deduction certificates to reservistsEmployer

• Provide certificates of tax deducted for reserve payEmployer

• Maintain records of tax deductions for military reservistsEmployer

• Provide end of year tax certificates to military reservistsEmployer

• Deduct income tax from lump‑sum payments at the correct rateEmployer

• Notify HMRC of tax rate for any lump‑sum paymentEmployer
• Notify HMRC of the preferred tax rate for lump sum paymentsAny Person

• Provide a tax deducted certificate to recipients of lump sum paymentsEmployer

• Record and report all lump‑sum PAYE paymentsEmployer

• Deduct basic rate tax from holiday pay fund paymentsTrader
• Deduct tax from holiday payEmployer

• Give a tax certificate for holiday payEmployer
• Provide a certificate of tax deducted for holiday payTrader

• Do not repay tax deducted from holiday payEmployer

• Keep detailed records of holiday pay paymentsEmployer
• Record details of each holiday pay paymentEmployer

• Keep records of payments and tax under direct collectionEmployee
• Maintain a deductions working sheet for each relevant paymentEmployee

• Pay apprenticeship levy by the correct deadlineEmployer
• Pay your apprenticeship levy by the monthly deadlineAny Person

• Report and pay the apprenticeship levy via PAYEEmployer
• Report apprenticeship levy liability to HMRCEmployer

• Divide and notify HMRC of apprenticeship levy allowance apportionmentTrader
• Elect and notify levy allowance split across PAYE referencesEmployer

• Calculate and pay apprenticeship levy for the first month of the tax yearEmployer

• Calculate and pay the apprenticeship levy each monthEmployer
• Calculate monthly apprenticeship levy paymentsAny Person

• Offset overpaid apprenticeship levy against other tax debtsAny Person
• Set off overpaid apprenticeship levy before claiming a refundEmployer

• Pay and report Apprenticeship Levy for continental shelf workersEmployer
• Pay and report apprenticeship levy for UKCS certificate holdersEmployer

• Keep and preserve apprenticeship levy records for three yearsEmployer
• Retain apprenticeship levy records for three yearsEmployer

• HMRC may require you to provide a former employee's P45 for a JSA claimEmployer
• Provide employee’s Form P45 parts to HMRC when requestedEmployer

• Record and report tax information from a new employee's P45Employer

• Use updated tax codes and totals for PAYE calculationsEmployer

• Calculate taxable jobseeker's allowance when paying JSA on behalf of the DepartmentEmployer

• Submit Form P45 (Parts 2 and 3) when claiming taxable benefitsApplicant

• Report employee death via Form P45 to HMRCEmployer

• HMRC may require you to provide a claimant's Form P45Employer
• Provide employee’s Form P45 (Parts 2 & 3) to HMRC on requestEmployer

• Update payroll records for new employees using Form P45Employer
• Record and report P45 details for new employeesEmployer

• File annual PAYE return to HMRCEmployer

• Use updated tax codes and payment history for payroll calculationsEmployer

• Adjust employee tax codes if PAYE differs from self‑assessmentEmployer

• Update employee PAYE codes for the next tax yearEmployer

• Ensure electronic payroll filings are accurate and completeEmployer
• Submit accurate and complete electronic information to HMRCEmployer

• Ensure all P45 and P46 information is submitted to HMRCEmployer
• Submit required PAYE forms (P45, P46) on timeEmployer

Fine up to £3,000

• Provide required PAYE information using approved forms and methodsEmployer
• Submit payroll and employment information in the correct formatEmployer

• Give HMRC consent to receive electronic informationEmployer

• Provide required tax information using approved formsEmployee
• Use approved forms and formats when providing payroll informationEmployee

• Provide FPCS car allowance statement to former employees on requestEmployer

• Report changes to employee identifier numbers on PAYE returnsEmployer

• Indicate payments to certain non-employee entities on returnsEmployer

• Include pension and lump sum details in PAYE payment submissionsAny Person

• Report detailed car benefit information in your PAYE returnEmployer

• Include lump sum indication and amount in PAYE returnsEmployer

• Indicate IR35-related payments on PAYE returnsEmployer

• Include non-taxable amounts in PAYE return for certain electronic paymentsEmployer

• Indicate trade disputes or unpaid absences in PAYE returnsEmployer

• Indicate post-cessation payments in your PAYE returnEmployer

• Mark final PAYE return for the tax yearEmployer

• Include employee's name, address and PAYE reference in payroll returnEmployer