HMRC to shut down unused PAYE schemes
HMRC has alerted businesses that unused Pay As You Earn (PAYE) schemes will be shut down where there has been no activity for 120 days.
From 28 October the Revenue will be issuing letters to employers explaining that their PAYE schemes have been closed where records indicate that they have not operated PAYE or paid any subcontractors.
Any PAYE schemes opened after 5 April this year will be shut down automatically where the employer has not sent any PAYE returns or paid HMRC within four months of the scheme being set up.
Schemes registered as annual schemes will not be closed by this process.
Ruth Owen, HMRC director general for personal tax, said...