David A
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One Company with Two PAYE Registrations

One Company with Two PAYE Registrations

One company operates two distinctive businesses, each of which has its own PAYE registration.

Two employees (Managing Director & Accountant) spend 50% of their time in one business and 50% of time in the other business.

Would it be acceptable to split their gross salaries between the two PAYE registrations, thus making a nice saving on NICs?

Any issues that could arise from this?

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By neileg
17th Jan 2013 11:37

Yes and no

They certainly can be on both payrolls. However the only time you need to aggregate earnings for NIC purposes is when the employers are connected. Since they are both the same company there's no doubt that they are connected.

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By David A
17th Jan 2013 11:46

If it sounds too good to be true, it probaby is!

Nice in theory eh? Always seems to be something!

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