Information for calculating earned income
61.—(1) Where—
(a)a person has employed earnings in respect of which deductions or repayments of income tax are required to be made under the PAYE Regulations; and
(b)the person required to make those deductions or repayments is a Real Time Information employer,
the information on which the calculation of those earnings is to be based for the purposes of determining the person’s earned income is the information about those earnings reported to HMRC in accordance with the PAYE Regulations.
(2) Where paragraph (1) does not apply or where a Real Time Information employer fails to report information to HMRC, the person must provide such information for the purposes of calculating the person’s earned income at such times as the Secretary of State may require.
(3) Where, by virtue of paragraph (1), the calculation of employed earnings is to be based on information reported under the PAYE Regulations, those employed earnings are to be treated as if they had been received by the person in the assessment period in which the Secretary of State receives that information, unless the Secretary of State has made a determination in accordance with regulation 54(2)(b) (estimate where information not reported) in relation to a previous assessment period.
(4) In this regulation “Real Time Information employer” has the meaning in regulation 2A(1) of the PAYE Regulations(1).
Regulation 2A was inserted by S.I.2012/822.