EIM11817 – PAYE: special type of payer or payee: agency workers: who has to operate PAYE: payment in readily convertible assets


Part 11 Chapter 3 ITEPA 2003

Individual works for

Paid by

PAYE must be operated by

Legislation (ITEPA 2003)

UK client through UK agencyClientAgencySections 688(1) and 696
AgencyAgency
UK intermediary of clientAgency
Overseas intermediary of clientAgency
UK intermediary of agencyAgency
Overseas intermediary of agencyAgency
UK client through overseas agencyClientClientSections 688(1), 689(4) and 696
AgencyClient
UK intermediary of clientClient
Overseas intermediary of clientClient
UK intermediary of agencyClient
Overseas intermediary of agencyClient
Overseas client through UK agencyClientAgencySections 688(1) and 696
AgencyAgency
UK intermediary of clientAgency
Overseas intermediary of clientAgency
UK intermediary of agencyAgency
Overseas intermediary of agencyAgency


However, you should only consider whether the person making a payment of PAYE income is an intermediary if you are satisfied that the agency is not required to operate PAYE. For example, engaging a payroll agent does not remove the PAYE obligation from the agency.

(This text has been withheld because of exemptions in the Freedom of Information Act 2000)