[UK] Payments due under PAYE Settlement Agreements

In a blog on the 2nd of October 2019, HMRC gave important information for employers who have payments to make under a PAYE Settlement Agreement (PSA).  This is an arrangement where HMRC allow employers to make an annual one off payment that covers all the tax and NI liabilities on expenses and benefits the employer has provided where they are:

  • Minor
  • Irregular or
  • Where it is impracticable to operate tax and NI

The gov.uk page explains these terms.

The blog says that HMRC are aware that some employers have not received a “payslip” notifying them the amounts they owe under their PSA arrangement for 2018/19 tax year.  But regardless of this, employers must still make their payments by the 22nd of October 2019 (if paying electronically).  The deadline is the 19th of October 2019 is sending a payment by post.

The Global Payroll Association wants to point readers to the gov.uk page that is all about paying a PSA.  And also remind you that penalties and interest may apply if the payment is received late.