Draft regulations for the calculation, payment and recovery of the Apprenticeship Levy

19 September 2016

HMRC has published the first set of draft regulations for the Apprenticeship Levy for a period of technical consultation, which will close on 14 November 2016.

In April 2017, the way the government funds apprenticeships is changing, through the introduction of the Apprenticeship Levy. Some employers will be required to contribute to a new Apprenticeship Levy.

This technical consultation asks for comments on the draft regulations made under the powers contained in the Finance Act 2016 to provide for the calculation, reporting and payment of the Apprenticeship Levy, and recovery of overpaid levy. These draft regulations also specify how the levy allowance will operate, on a monthly, cumulative basis.

Geographical extent – this consultation applies to all employers in the UK, both public and private sector, who will or are likely to have a liability to pay the Apprenticeship Levy (annual pay bills greater than £3 million, subject to the rules on connection).