CSLM10066 – FAQs: employers questions and answers: start notice held - t/p working abroad
Suggested answer
If you are deducting NICs from the employee's salary then
Student Loan deductions will also be due and you should start
making deductions in accordance with the instructions given on the
Start Notice.
If no NICs are deducted from earnings then do not make
Student Loan deductions.
HMRC action
None
Notes:
- For the purposes of Student Loan deductions, the legislation
states that for Student Loans purposes the employer uses '...
emoluments …’ as they are for the purposes of the
Contributions Regulations
- It follows that if Class I NICs are not due then nor are Student Loan deductions. This extends beyond this scenario and is particularly relevant in the areas of expenses and benefits
