CSLM17030 – SL repayments: borrower within PAYE: maintaining records


The Collection of Student Loans scheme does not introduce any new forms for completion by the employer, although the employer will receive new forms and guidance material from HMRC.

In addition, changes have been made to existing forms to accommodate Student Loans. The employer will have to make additional entries on these forms if a borrower is employed.

New Forms

Three new forms have been introduced that will affect employers. Brief details of their use are given below.

  • Form SL1 - Start Notice - issued automatically to the employer when a borrower is identified and matched with the PAYE database
  • Form SL2 - Stop Notice - issued automatically to an employer when deduction of Student Loan Repayments is to cease
  • Form SL3 - Student Loan Deduction Tables - These are available from the Employer’s Orderline on 08457 646 646. They are also on the Employer CD-ROM

Existing forms

Amendments have been made to the following existing forms to enable the employer to handle the Collection of Student Loans scheme

  • P11 and P12 - Deductions Working Sheet - 'Student Loan Deductions' column
  • Employer enters a tick in the box headed 'Student Loan Deductions' if employee is a borrower
  • Employer enters the amount of Student Loan deductions in the Student Loan column for each pay period. (Whole pounds only)
  • P14 - End of Year Summary - 'Student Loan Deductions in this employment'
  • Employer enters the total amount of Student Loan deductions made during the year in the box headed 'Student Loan Deductions in this employment'. (Ignore any deductions made by another employer)
  • P30B - Payslip
  • The employer lumps Student Loan deductions with tax deducted during the period
  • P32 - Employer's Payment Record - ‘Student Loan Deductions’
  • Employer enters, in the box headed ‘Student Loan Deductions’, the amount of Student Loan deductions made during the period and included in each payment to HMRC. (Whole pounds only)
  • P35 - Summary of tax and so on deducted - 'Total Student Loan deductions’
  • Employer enters the total amount of Student Loan deductions in respect of all employees in the box headed 'Total Student Loan Deductions'
  • P45 - Employee Leaving Details - 'Continue Student Loan Deductions'
  • Employer enters 'Y' in box headed 'Continue Student Loan Deductions' if form SL1 received but no form SL2 received (whether or not deductions have actually been made)
  • P46 - Employee Starting Details - 'Employee without a Form P45'
  • Employee ticks box D (Student Loans) and the employer starts making Student Loan deductions
  • P60 - Certificate of pay and tax and so on deducted - 'Student Loan Deductions in this employment'
  • Employer enters the total amount of Student Loan deductions in this employment
  • Wages slip - Various designs
  • Whatever design is used the employer must show Student Loan deductions separate from other deductions made from pay