The Income Tax (Pay As You Earn) (Amendment) Regulations 2015

Citation, commencement and effect

1.—(1) These Regulations may be cited as the Income Tax (Pay As You Earn) (Amendment) Regulations 2015 and come into force on 29th January 2015.

(2) Regulation 2(5) and (6) only has effect in relation to returns filed on or after 6th March 2015.

Amendment of the Income Tax (Pay As You Earn) Regulations 2003

2.—(1) The Income Tax (Pay As You Earn) Regulations 2003(1) are amended as follows.

(2) In regulation 2(1) (interpretation)(2), in the definition of “notice”, for sub-paragraph (b) substitute—

“(b) for the purposes of regulation 17 (notice to employee of code) and regulation 19 (amendment of code) notice—

(i) by an approved method of electronic communications(3);

(ii) in writing (other than a notice falling within sub-paragraph (i)); or

(iii) by telephone;”.

(3) In regulation 17(2) (notice to employee of code)—

(a) omit the “or” after sub-paragraph (a); and

(b) for sub-paragraph (b) substitute—

“(b) the change in the code is solely because of an alteration or proposed alteration—

(i) in the rates of any of the personal reliefs allowable under Chapters 2 (personal allowance etc.) and 3 (tax reductions etc.) of Part 3 of the Income Tax Act 2007(4); or

(ii) in the tax tables;

(c) the employee’s PAYE income(5) is not chargeable to tax; or

(d) the employee does not have a liability to tax in respect of any PAYE income.”

(4) In regulation 19 (amendment of code)(6) for paragraph (4) substitute—

“(4) But notice need not be given—

(a) if the change in the code is because of an alteration or a proposed alteration—

(i) in the rates of any of the personal reliefs allowable under Chapters 2 (personal allowance etc.) and 3 (tax reductions etc.) of Part 3 of the Income Tax Act 2007; or

(ii) in the tax tables; or

(b) if as a consequence of any change to the code—

(i) the employee’s PAYE income is not chargeable to tax; or

(ii) the employee does not have a liability to tax in respect of any PAYE income.”

(5) In regulation 67F(2) (additional information about payments)(7), omit sub-paragraph (a).

(6) In Schedule A1 (real time returns), omit paragraph 7(8).

Edward Troup

Simon Bowles

Two of the Commissioners for Her Majesty’s Revenue and Customs

5th January 2015