PAYE77251 - PAYE operation: employment and support allowance: annual coding
Annual uprating
DWP will send an annual uprating file for ESA cases in the same way that they do for State Pension and Incapacity Benefit cases.
When the PAYE Service accepts uprating information from DWP it will automatically change estimated ESA (if required) on the individual's record to actual ESA (ESA Actual).
Where the actual amount of ESA is not shown on the DWP uprating file the PAYE Service will automatically update the amount at annual coding by the percentage increase (held centrally) and show this as Estimated ESA.
The PAYE Service will produce a work item when the following circumstance applies
- WI403 - the DWP file shows NIB to be updated but the individual’s primary employment is live (This text has been withheld because of exemptions in the Freedom of Information Act 2000)
Existing ESA cases migrated to the PAYE Service will not have the estimated or actual figure indicator populated until the DWP annual uprating has taken place.
P2 Notice of Coding
From 2011-12 a P2 will no longer be issued to the individual where the ESA employment record is held as the secondary source. In the Tax Code Details screen the ‘Notice to Individual / Agent (P2)’ dropdown will be set to ‘Not Issue’.
