The Insolvency (England and Wales) Rules 2016

Order to payer of income: administration

10.113.—(1) Where a person receives notice of an income payments order under section 310(3)(b), with reference to income otherwise payable by that person to the bankrupt, that person (“the payer”) must make the necessary arrangements for compliance with the order as soon as reasonably practicable.

(2) When making any payment to the trustee, the payer may deduct the permitted fee towards the clerical and administrative costs of compliance with the income payments order.

(3) The payer must give to the bankrupt a statement of any amount deducted by the payer under paragraph (2).

(4) Where a payer receives notice of an income payments order imposing on the payer a requirement under section 310(3)(b), and either—

(a) the payer is then no longer liable to make to the bankrupt any payment of income; or

(b) having made payments in compliance with the order, the payer ceases to be so liable;

the payer must as soon as reasonably practicable deliver notice of that fact to the trustee.