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HMRC internal manual

Self Assessment Manual

From
HM Revenue & Customs
Updated
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Records: set up taxpayer record: link from SA to PAYE records

A link is created between a live SA record and a live PAYE record automatically. Automatic processing then enters the Unique Taxpayer Reference (UTR) (where not already present) and sets an SA signal on the PAYE record. At the same time information common to the SA and PAYE record is flowed to update the computer system where details held differ.

Notes:

1. An SA / PAYE link will only be created if the SA record holds the taxpayer’s correct NINO. It is essential, before you set up an SA record that you have a validated NINO (unless the taxpayer is, for example a foreign national in which case they may not have a NINO). If the NINO is not entered on to the SA record at the time the record is set up and fails to match in secondary tracing, a temporary reference will be allocated automatically. Unless there is a valid reason for an individual not to have a validated NINO the case should not be set up in SA but the individual advised to obtain a NINO (see SAM100220)
   
2. If you are creating an SA record (which shows no agent details) with a PAYE record (which holds ‘non-coded’ agent details) you must ensure that the agent details are recorded on SA before it goes through the automatic linking process. Once the link has been made details of the ‘non-coded’ agent are lost from the PAYE system

The details flowed are

  • Name and address
  • RLS signal
  • Abroad signal
  • Communication name and address
  • RLS signal for communication address
  • Abroad signal for communication address
  • PAYE reference number
  • Telephone number
  • Sex indicator
  • Deceased signal
  • Date of death
  • Date of birth
  • Language - Welsh
  • Special output - Audio, Braille and Large print
  • No Repayment signal
  • Main capacity details. These details are name, address, RLS signal, Abroad signal, role and telephone number
  • NINO
  • Agent details

Other details common to SA and PAYE need to be updated both on the SA and PAYE records.

The Live SA link indicator on the PAYE Service shows that there is a live SA interest for the individual. The indicator is set automatically on the PAYE Service from the information held on the SA system once the link is made. The indicator is set on the PAYE record even when there is no live PAYE source but there is a live SA record.

From October 2010, the interface between CESA and the PAYE Service has been enhanced to automatically record an SA First Year on an individual’s PAYE Service record when an SA record is set up for the individual. The date on which the SA record is set up will be used to set an SA First Year on the PAYE Service record by converting the date to an SA year equivalent to CY. However, as the year that cuts across to NPS is the year the case record was set up in SA not the year the source started, you should follow the guidance at PAYE93032 and PAYE93033 to update the ‘Start Year’ to the year the source started.

The CESA to PAYE Service interface already passes an SA Final Year and Live SA indicator to the PAYE Service and these together with the new SA First Year, will be used by the PAYE Service to decide whether or not the customer should be assessed under SA or through the PAYE Service.

While the link remains in place

  • Changes made to the items shown under ‘Making the Link’ above on the SA record flow to, and update, the PAYE record and, where appropriate, the National Tracing System

Changes made to the following details on the TBS system flow to and update the SA and PAYE record

* Base name and address
* RLS signal for base address
* Abroad signal for base address
* Telephone number
* Sex indicator
* Language - Welsh
* Special output - Audio, Braille and Large print
* Date of birth
* Deceased signal
* Date of death
* Main capacity details. These details are name, address, RLS signal, Abroad signal, role and telephone number

The link will be broken between the two systems only when the SA record ceases or is made dormant. The ‘Live SA’ indicator is automatically removed from the PAYE record when the SA record ceases. The UTR remains. If the PAYE employment ceases or changes but the SA record remains live, the link will continue.

When the final return year signal is set on SA and the case made dormant, the link is no longer required. The PAYE reference will be removed automatically from the SA record. The Live SA signal is unset on the PAYE Service record but the UTR remains protected on the record. The SA Final Year signal is set on the PAYE Service record. However, you should also follow the guidance for ‘Making a record dormant’ (SAM101092) to amend the ‘No SA Criteria’ indicator appropriately.

When the taxpayer’s employment ceases the link is no longer required. The PAYE link will be removed automatically from the SA record but the ‘Live SA’ indicator remains on the PAYE record and the UTR remains protected on the record.