PAYE73010 - PAYE operation: simplified deduction schemes: after the year end


When a paper copy of the employer annual return is received the Employer section will prepare a form P14 from the deduction card P12. Instructions for Employer sections are contained in ‘Form P37 And / Or Cards P12 - 2005 Onwards (Action Guide)’, at PAYE40031.

The separated form P14 is dealt with as follows

  • The P60 is sent to the employee, together with a stock letter (see ‘Form P37 And / Or Cards P12 - 2005 Onwards (Action Guide)’ at PAYE40031)
  • The Centre for Research & Intelligence (CRI) copy is sent to NICO for processing in the normal way
  • The computer will use the P14 details to clear cases automatically ‘N’ or ‘Z’ unless
  • The POTA signal has been set

Or

  • There is another inhibition to automatic clearance on the taxpayer’s record
  • The HMRC copy and card P12 are passed to the PAYE section to retain

If an employee at a simplified deduction scheme (DOME scheme) claims a repayment after the end of the tax year use the pro-forma P14 to calculate the refund in the usual way.