PAYE systems update
HRMC have issued a further update on the new PAYE software system which will merge PAYE data currently held on 12 separate regional databases.
Whilst the new system is being set-up (from 12 June 2009) there will be issues for taxpayers and agents seeking information on PAYE changes. No announcement has yet been made as to when the new system will be up and running and all outstanding information brought up-to-date.
For the moment only general PAYE guidance will be available from HMRC by phone. They will be unable to resolve specific queries relating to individual National Insurance records or more recent PAYE changes.
It will be possible for individuals to update their address and details of any new and existing taxable benefits by phone. However, updates related to starting a new job or other changes to PAYE tax codes will not be possible.
Employers can and should continue with online submissions and paper forms as normal. These submissions will be held until they can be processed on the new software system.
There are also 3 known issues that will affect accountants operating PAYE schemes for clients:
– In some cases the correct format of agents’ reference numbers cannot be entered.
– A tax calculation will not be issued to any agent where there is also a person acting in some other capacity (for example, with power of attorney).
– There may also be cases where an agent may receive a copy of a notice of code number (P2) for a client, even where this service is not required.