Para 36: loan charge relevant step: duty to provide loan balance information to employer
Schedule 11 F(No 2)A 2017
If an amount of a loan or quasi-loan made on or after 6 April 1999 by a third party is outstanding at any time from 17 March 2016 to the end of 5 April 2019 or the approved repayment date if appropriate (“the loan charge date”), the 2019 loan charge provisions require that the employer operates PAYE on the outstanding amount.
In order to do this, the employer will need details of the amount outstanding. The 2019 loan charge provisions include a requirement that both the person who made the loan or quasi-loan and the employee who received it must provide information about the loan balance to the employer who is to operate PAYE.
The information must be sufficient for the employer to ascertain the amount of the loan or quasi-loan which is outstanding immediately before the end of the loan charge date. It must include any other information that the employer may reasonably require in order that they can comply with the PAYE regulations.
The information must be provided to the employer before the end of a period of 10 days beginning on the day after the loan charge date.
A and P must take reasonable steps to contact the employer to provide loan balance information. If they have failed to make contact, each must notify HMRC that this is the case. The notification will be in a form and manner, and contain information as may be specified by HMRC. Details will be published on GOV.UK.