I have recently been told by a local HMRC collection officer that they have the power to withdraw the quarterly payments status from small employers who do not keep payments up to date, and impose a requirement that the payments are made monthly. The right to choose to pay quarterly (where the average monthly amount of PAYE/NIC is less than £1500) is given at S. 70(1) Income Tax (PAYE) Regulations 2003. I cannot find any reference to support the tax officer's claim. I would be interested to hear if anyone has had similar experience of HMRC Debt Collection departments apparently inventing rules to suit themselves. If my example is widespread I wonder how many small businesses are effectively being told to pay tax liabilities before they are legally due?