PAYE operation: simplified deduction schemes: increase in pay above PAYE threshold (Action Guide)
Note: DOME schemes became standard P schemes from 6 April 2014. This guidance refers to all years up to and including 2013-14.
Where you receive notification of an increase in pay above the threshold for PAYE, follow steps 1 - 6 below.
|1.||Use the PAYE Service In Year Forms Data Capture screen to create the employment on the individuals account|
|2.||Complete deduction card P12. (The Employer section will have prepared a card P12 and sent it to the PAYE section if they have set up the scheme for this employee)|
|* Enter the code. Use code suffix ‘T’|
|* Enter the Week 1 or Month 1 free pay for the code|
|* Strike through the quarters that have entirely expired|
|3.||Use the PAYE Service to set the Manual Correspondence to employer indicator on the Edit Employment Details screen. For more information refer to PAYE64010|
|4.||Use the PAYE Service EDIT EMPLOYMENT ALLOCATIONS screen which follows the Tax Code Details screen to set the drop down suffix to ‘T’ for the employment|
|5.||If the employer has other liable employees|
|* Send deduction card P12 to the employer|
|6.||If the employer does not have other liable employees (the Employer section will have set up the scheme because this employee has started employment)|
|* Pass the completed card P12 to your Employer section|
|* To issue|
|* To include form P16 (guidance on how to complete the P12, and the Simplified Tables)|