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HMRC internal manual

Debt Management and Banking Manual

From
HM Revenue & Customs
Updated
, see all updates

Debt and return pursuit: PAYE: PAYE only scheme or PAYE element of a PSC scheme

Where you establish that a succession has taken place you need to let PAYE Employer Office know by issuing a form P212.

Where the new owner already has a PAYE record then the scheme of the old employer can be succeeded into that record.

Where the new owner does not have a PAYE record one will need to be opened before the old scheme is succeeded into it.

Previous owner

On the previous owner’s scheme

  • do not reduce the Estimated Monthly Yield (EMY) on BROCS
  • make annual payment month to same month of succession (e.g. month 6)
  • do not make the case WWTD
  • follow normal pursuit procedures for the debt up to the date of succession
  • issue form P212 to PAYE Employer Office to notify succession
  • note BROCS that a P212 has been issued and the date of succession

Where the new owner already has a PAYE scheme, note BROCS actions page with a cross reference to that scheme.

Where the new owner does not already have a PAYE scheme

  • note BROCS actions page with the name and contact details of the new owner and
  • B/F to do the cross reference once the new scheme reference is known.

For any IDMS In-year work items you should

  • add an IDMS history note with an explanation that

    • the scheme is subject to succession
    • a P212 has been issued and
    • BROCS notes etc need to be reviewed before taking any pursuit action.

New owner

Until PAYE Employer Office can deal with the scheme succession

  • where the new owner already has a PAYE scheme, note BROCS action page with a cross reference to the closing scheme.
  • where the new owner does not already have a PAYE scheme

    • note the closing BROCS record (actions page) with the name and contact details of the new owner and
    • B/F to do the cross reference once the new scheme reference is known.