31 October 2024
Global payroll processing is set to get slightly easier following draft regulations published alongside the reform of non-domicile tax status.
The relevant section states:
“690A Employer notification for international mobile employees
(1) This section applies in relation to an employee if the employee is internationally mobile within the meaning of section 690
(2) at any time in tax year 2025-2026 or a subsequent tax year (“the mobile tax year”). (2) The appropriate person may give notice to an officer of Revenue and Customs at any time during the mobile tax year that—
(a) the employer is proposing to treat a proportion of any uncertain payment made by the employer to the employee as not being PAYE income of the employee for the purposes of PAYE regulations, and
(b) setting out how the employer proposes to determine that proportion.
(3) If a notice given under this section has effect, the proportion of any uncertain payment made by the employer to the employee during any tax year as determined in accordance with the notice is to be treated for the purposes of PAYE regulations as not being a payment of PAYE income.”
This will allow employers to inform HM Revenue and Customs (HMRC) of non-PAYE calculations without waiting form confirmation.
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