HMRC Direct Debits

Direct Debit for employer PAYE payment

HMRC plan to introduce a recurring Direct Debit for employer PAYE payments. At the moment there is a facility for a single Direct Debit to collect a single payment but the announced new facility would enable a Direct Debit to be set up to collect payments without further intervention.

The Direct Debit would be collected based upon the submissions made to HMRC and employers can view the payment within the employers’ liabilities screen of their Government Gateway.  Employers will also be able to create, amend, view or cancel a Direct Debit from within their payments screen.

Although it would be unwise for employers not to check each month this does offer a good solution for those organisations that have ever been late with payments or just seeking a different option.  It is currently still possible to arrange payments via the bank and we do not expect this to be withdrawn any time soon.

Paying via bank transfer

08-32-10 12001039 HMRC Cumbernauld

To pay via the bank you need to include your PAYE accounts office reference (13 characters) and ideally the tax month and year the payment is related to (YYMM).  Details are available on the HMRC website.

In Summary

Although we expect this new facility to prove popular with some organisations we recommend checking the proposed payment every time and contact HMRC straightaway if there are any discrepancies.