When you employ staff, there are employer obligations you need to meet.
As an employer, you are required to make deductions from your employees earning a wage, salary or schedular payments. This is known as PAYE (pay as you earn). You must deduct and pay PAYE tax on your employees' behalf by the due dates. This is to avoid penalties and interest charges.
If you pay your employees other benefits and allowances, including employee share schemes (ESS), you also have obligations you must meet.
You are required to keep full and accurate wage records for 7 years.
All employees must fill in either a Tax code declaration - IR330 (for employees) or a Tax rate notification for contractors receiving schedular payments - IR330C.
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Work out if you are an employer
Work out if you are an employer who needs to register with us.
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Register as an employer
You need to register as an employer as soon as you start employing staff.
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Deductions from income
You need to deduct tax from employees who receive salary or wages - including student loan repayments, if they have them.
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Deductions from other payments
If you pay your employees other benefits and allowances, you need to work out the tax value and pay it to us.
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Payday filing
You must file employment information every time you pay your employees.
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Stop employing staff
You must notify us if you intend to cease employing staff permanently, within 30 working days after you stop employing.
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Closing down a business
If your business or company is closing down, you need to take some steps.