Paye Settlement Agreement Deadline

From 2018-19, HMRC has moved on to a new simplified PSA enduring process. The new procedure replaces the previous procedure by which employers had to apply for an PPE each year and to ensure that the signed agreements were in effect on a specified date. Under the new procedure, it is not necessary for an employer to do anything else after signing a permanent PSA agreement, unless the PSA agreement is to be amended or if hmrc or the customer decides that a PSA is no longer required. If you already have an PPE, you should check to see if changes are needed for fiscal year 2019/20. If you do not currently have an PPE, you must determine whether you should enter an PPE for fiscal year 2019/2020. The deadline for signing a 2019/20 contract and updating your current contract is July 6, 2020. It`s also a good time to check if you need to set up an PPE for fiscal year 2020/2021. Taxpayers should not wait to receive their salary confirmation from HMRC. All electronic payments related to the EPI must be transferred to HMRC`s bank account by October 22, 2020. From April 2018, the annual process for renewing PPE contracts has been simplified, so employers are not required to agree to a PSA with HMRC each year if the categories remain the same. Under the agreement, the EPI will remain in place until the employer or HMRC terminates or amends it.

Once a PSA is completed, the agreement continues. The deadline for applications for an PPE is 5 July following the end of the fiscal year. Therefore, if you do not have an PPE yet, you must claim benefits and expenses for the 2018/2019 fiscal year by July 5, 2019. You must agree with HMRC on the type of expenses and benefits you wish to include in the PPE before the annual deadline. If HMRC accepts the application, you submit to HMRC a calculation of the tax and NIC due on a gross basis at the corresponding tax rate and you pay the amount owed. If HM Revenue and Customs (HMRC) approves your EPI before the start of a fiscal year, you can include all expenses and benefits contained in the agreement.