The Income Tax (Pay As You Earn) Regulations 2003 No. 2682

PART 4 U.K. PAYMENTS, RETURNS AND INFORMATION

CHAPTER 1 U.K. PAYMENT OF TAX AND ASSOCIATED RETURNS

[F1 Payment and recovery of tax by employer U.K.

Textual Amendments

F1 Regs. 67B-67H and cross-headings inserted (6.4.2012) by The Income Tax (Pay As You Earn) (Amendment) Regulations 2012 (S.I. 2012/822), regs. 1(1), 27(b) (with regs. 54-57)

Payments to and recoveries from HMRC for each tax period by Real Time Information employers U.K.

67G.— (1) For each tax period, a Real Time Information employer must pay to, or may recover from, HMRC the amount arrived at under the formula in paragraph (4).

(2) If the amount arrived at under the formula in paragraph (4) is a positive amount, the employer must pay the excess to HMRC.

(3) If the amount arrived at under the formula in paragraph (4) is a negative amount, the employer may recover that amount either—

(a) by deducting it from the amount which the employer is liable to pay under paragraph (2) for a later period in the tax year, or

(b) from the Commissioners for Her Majesty’s Revenue and Customs.

[F2 (3A) Where a return for a tax period contains a correction under regulation 67E(5) (returns under regulations 67B and 67D: amendments)) and paragraph (3) of this regulation applies, the negative amount is treated as having been paid to HMRC—

(a) 17 days after the end of the tax period in respect of which that return is delivered, where payment is made using an approved method of electronic communications, or

(b) 14 days after the end of the tax period in respect of which that return is delivered, in any other case.]

(4) The formula in this paragraph is , where—

A is the sum total of the relevant amounts for each of the employer’s employees, and

B is amount A for the previous tax period in the tax year, if any.

(5) For the purposes of paragraph (4), a “relevant amount” is the amount shown under paragraph 17 of Schedule A1 (real time returns) for an employee in the most recent return made in the tax year by the employer under regulation 67B (real time returns of information about relevant payments) or 67D (exceptions to regulation 67B) which contains information about that employee.

[F3 (5A) If the employer makes a return under regulation 67EA(3) (failure to make a return under regulation 67B or 67D) a “relevant amount” for the purposes of paragraph (4) is the amount shown under paragraph 17 of Schedule A1 (real time returns) for an employee in that return for the tax year to which that return relates.]

(6) In paragraph (5) “the most recent return” means the return which, as at the end of the tax period, contains the most up to date information under paragraph 17 of Schedule A1 about the employee.

(7) This regulation is subject to regulations 67H (payments to and recoveries from HMRC for each tax period by Real Time Information employers: returns under regulation 67E(6)), 71 (modification of regulations 67G and 68 in case of trade dispute) and 75B (certificates under regulation 75A: excess payments).]

Textual Amendments

F2 Reg. 67G(3A) inserted (with effect in accordance with reg. 1(2) of the amending S.I.) by The Income Tax (Pay As You Earn) (Amendment No. 2) Regulations 2014 (S.I. 2014/1017), regs. 1(1), 2(a)

F3 Reg. 67G(5A) inserted (6.4.2013 with application in relation to the tax year 2013-14 and subsequent tax years) by The Income Tax (Pay As You Earn) (Amendment) Regulations 2013 (S.I. 2013/521), regs. 1(2), 25