DMBM519710 - Debt and return pursuit: PAYE RTI: cessations: automatic cessation of new schemes when no RTI submissions made

The majority of this manual will be archived on 1 July 2024. If there is content within this manual you use regularly, email hmrcmanualsteam@hmrc.gov.uk to let us know.

For schemes set up after 6 April 2013, EBS can automatically cancel new schemes, if there is no activity on the record in the first 120 days.

A record will be considered as having no activity where:

• no RTI submissions have been received (this includes nil and no payment for period submissions)
• no payments have been made to HMRC
• the employer is not an annual payer
• there is no evidence that the employer wants to claim CIS Deductions Suffered
• the employer has not received an advance from HMRC
• there are no periods of Construction Industry liability
• there is no evidence that there has been any live employments attached to the scheme
• there is no evidence that Class 1A NIC is due.

Where a scheme is closed an RTI206 letter is issued. On receipt of this letter, the employer can ask for the scheme to be reopened.