PSA2070 - Dealing With PAYE Settlement Agreements

Amending a PSA Charge

An amendment to a PSA charge may be required following agreement with the employer to change the terms of the PSA or where you decide to cancel a PSA.

To increase a charge you must

  • amend the original charge on SAFE (or create a charge through SAFE for the additional amount due), see PSA2040
  • update ECS follow PSA6040

To reduce or cancel a PSA SAFE charge you must

  • amend the original charge on SAFE, see PSA2040
  • update ECS follow PSA6040

To reduce or cancel a PSA non-SAFE charge you must

  • prepare a new form P630, this form is in 3 parts
  • Notice to pay – send this to the employer. If required enclose the appropriate Network Unit payslip PS1 and an A & PS Freepost envelope.
  • Network Unit copy – this copy must be to the Network Unit of Accounting and Payment Service (A & PS) under the cover of form P629(Control)
  • issuing office copy – this copy must be certified, see PSA2050, and put away in the employer’s file
  • update ECS, follow PSA6050
  • use the original PSA reference
  • make no entries in the boxes for tax, Class 1B NICs and total amount due
  • enter the amount of the reduction to the original charge in the cancellation boxes of the P630.