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HMRC internal manual

Debt Management and Banking Manual

From
HM Revenue & Customs
Updated
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Payment processing: effective date of payment (EDP) rules

The following table sets out the Effective Date of Payment (EDP) and Date of Receipt (DoR) rules for PAYE and other Heads of Duty. The separate rules for PAYE set out the legislative requirements for electronic payments.

Cheques (including postal orders) and cash

Handed into HMRC, or received in the post.

Head of Duty EDP/DoR
   
All Heads of Duty (except Corporation Tax and VAT) The day of receipt of the payment by HMRC.

But, if the payment was received by post following a day when the office was closed, the EDP is the day that the office was first closed.

For example, a payment received in the post on a Tuesday where Monday was a bank holiday is given Saturday’s date as the EDP.

     
  Corporation Tax The day the cheque clears into HMRC’s bank account.
     
  VAT The day the cheque clears into HMRC’s bank account.

(This content has been withheld because of exemptions in the Freedom of Information Act 2000)

 

Post Dated Cheque

Head of Duty EDP/DoR
   
All Heads of Duty The date of the cheque.
 

Bacs Direct Credit (including internet and telephone banking), CHAPS and Government Banking Service

Head of Duty EDP/DoR
   
All Heads of Duty (excluding PAYE and VAT) One bank working day before HMRC receives cleared funds.
     
  PAYE (BROCS) The date HMRC receives cleared funds, less three calendar days (see example below).
     
  VAT The date HMRC receives cleared funds.
 

Faster Payments

Head of Duty EDP/DoR
   
All Heads of Duty (except PAYE) The date HMRC receives cleared funds.
     
  PAYE (BROCS) The date HMRC receives cleared funds, less three calendar days (see example below).
 

Payments made at a Post Office with a scannable payslip and by BillPay (debit or credit card over the internet)

Head of Duty EDP/DoR
   
All Heads of Duty (excluding PAYE and VAT) The date payment was made (over the Post Office counter or by BillPay). It is worked out automatically from the date of ledgering supplied by Santander in the electronic payment file.
     
  PAYE (BROCS) The date HMRC receives cleared funds, less three calendar days (see example below).
     
  VAT (BillPay only) The date HMRC receives cleared funds.
 

Bank Giro

Head of Duty EDP/DoR
   
All Heads of Duty (excluding PAYE and VAT) The date payment is made at the bank counter. It is worked out automatically from the date NatWest provides in the payment file.
     
  PAYE (BROCS) The date HMRC receives cleared funds, less three calendar days (see example below).
     
  VAT The date HMRC receives cleared funds.
 

Direct Debit using the National Direct Debit Service (NDDS)

Head of Duty EDP
   
All Heads of Duty (excluding PAYE) One bank working day before the payment collection date as agreed in the Payment Plan.
     
  PAYE (BROCS) Three calendar days before the payment collection date as agreed in the Payment Plan.
 

Direct Debit using VAT Online

Head of Duty DoR
   
VAT Three working days after the electronic return due date of the 7th.
 

Example - PAYE (BROCS) EDP

Where we receive cleared funds on Thursday 22nd, the EDP given to the payment is Monday 19th.

(This content has been withheld because of exemptions in the Freedom of Information Act 2000)

(This content has been withheld because of exemptions in the Freedom of Information Act 2000)

(This content has been withheld because of exemptions in the Freedom of Information Act 2000)