PAYE21205 - employer records: maintain employer record: reopening an employer record

It is possible to reopen an employer record which was previously cancelled.

This can happen when

• A business has now started to trade
• A record was cancelled in error
• A business now has employees liable to Income Tax and / or National Insurance

When an employer record is reopened, the computer will automatically remove the previous cancellation date. As a result all intervening years will be reopened.

You must consider the following

• Employer indicators. For example forms P35 / CIS36 will automatically be issued for all open years. When these are not required the NOP35 / NOP35REM indicators or contractor equivalents should be set
• Intervening years, cancelled one year only when no employer annual returns are required

You must also remember to review ECS to ensure all indicators are set correctly and that BROCS is updated when reopening an employer record on EBS. ECS will for certain information only get updated monthly. It is important that all systems are in line to avoid errors (mismatches) occurring.

Employer record reopened in error

A reopen date cannot be amended. If circumstances arise where a date was entered incorrectly, or the employer had no employees cancel the employer record. Follow the Action Guide ‘Cancellation Of An Employer Record’ PAYE21016.

Note: You cannot reopen a ceased scheme. For more information about ceased schemes see subject ‘Restarting An Employer Record’ PAYE21215.