HM Revenue & Customs (HMRC) has announced plans to offer a recurring direct debit to employers, forming part of a wider payment modernisation programme.  

Currently employers can only pay their PAYE liability via Direct Debit to collect a single payment. Under the new service employers will be able to set up a direct debit mandate authorising their payment to be collected on a recurring basis i.e., monthly.  

The amounts taken by HMRC will be based on an employer’s Real Time Information (RTI) submissions. 

As a result of the launch of this service, which is scheduled for mid-September this year, employers will see a change to the employer’s liabilities and business tax account (BTA) screens providing the facility.  

Similar to any other direct debit mandate, employers will be able to view, amend, or cancel the direct debit via a “manage your direct debit” service once it has been set up.  

Along with this update, HMRC stated that it has been extending employer PAYE for agent online services to allow accountants and adviser to see payment records held by HMRC along with employer liabilities. 

How can GH Payscheme help? 

Our BACS-approved payroll bureau supports employers nationwide with meeting their obligations. As well as processing your payroll, we can help you to calculate your PAYE liabilities, and ensure the amounts reported to HMRC are accurate. 

There are other ways to settle your PAYE liability, besides direct debit, and we can facilitate the payment of your liability by BACS should you require us to do so. 

To speak to one of our payroll professionals about outsourcing your payroll, contact us today. 

Link: Employer PAYE — new recurring Direct Debit functionality 

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