PART 6PAYE SETTLEMENT AGREEMENTS
Variation and cancellation of PSA
Variation of PSA113
1
The Inland Revenue and the employer may, by agreement and consistently with the provisions of this Part, vary the terms of a PSA entered into by them.
2
The agreement must be—
a
in writing, and
b
signed and dated by the employer and by the Inland Revenue.
3
The last date for variation of a PSA is 6th July following the end of the tax year to which it relates.
Cancellation of PSA114
1
The Inland Revenue may cancel a PSA if the employer has seriously or persistently failed—
a
to account to the Board of Inland Revenue for sums for which the employer is accountable under the PSA, or otherwise to comply with the terms of the PSA,
b
to produce records in accordance with regulation 117 (inspection of PSA records),
c
to deduct, or account for, tax in accordance with Parts 3 and 4 (deduction and repayment of tax; payments, returns and information), or
d
to deliver returns in accordance with Parts 3 and 4.
2
Cancellation must be effected by notice to the employer.
3
A cancellation comes into effect from the date of the notice.
4
If a PSA is cancelled, this Part does not apply to general earnings—
a
to which the cancelled PSA related, and
b
which are paid, or (as the case may be) provided or made available, after the employer receives notice of the cancellation.