Beware of HMRC delays when setting up PAYE direct debits
One of the professional accountancy bodies is warning that employers need to allow additional time to set up new variable direct debits for PAYE. Why?
HMRC’s guidance on PAYE states that employers should set up direct debits at least six working days in advance of the payment due date. Following an update on HMRC delays provided to the Institute of Chartered Accountants in England and Wales (ICAEW), it turns out that more notice is needed in order to meet the deadline. HMRC’s guidance has not been amended, but the ICAEW is warning that new variable direct debits need to be set up by:
- 10 March for PAYE due on 22 March; and
- 12 April for PAYE due on 22 April.
The recommendation is that employers set up new direct debits at least nine working days prior to the payment due date. This service is still relatively new and HMRC is working to improve the process.
Related Topics
-
Can sale with no goodwill charge still qualify as TOGC?
You are selling an unprofitable part of your business but the sale does not include any charge for goodwill due to trading losses. Can the sale still qualify as the transfer of a going concern and what conditions must you meet?
-
VAT on electricity to be cut
The new Prime Minister has announced a cut to the rate of VAT on electricity from 1 October. What's the full story?
-
IHT planning with the family home
You want to take steps to reduce your inheritance tax (IHT) exposure but most of your wealth is tied up in your home. You don’t want to downsize anytime soon so which tax planning options could help you?
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.