Payroll: what to do if your business merges or changes
Find out what to do with your payroll and PAYE reference numbers if your business changes but does not cease to trade.
Mergers and successions聽
As an employer, there are times when you may need to use a different employer reference on your payroll. For example, if:聽
- you merge 2 or more of your PAYE (Pay As You Earn) schemes聽
- another legal entity takes ownership of your business and becomes responsible for the pay records 바카라 사이트� this is called a succession聽
A succession may involve the sale of a business which is in liquidation or administration, carried out by an insolvency practitioner.聽
If your business undergoes a merger or succession, contact the HMRC Employer helpline. They will:聽
- confirm whether the change is a merger or succession聽
- tell you which employer reference to use聽
- give you a new employer reference if you need one聽
Moving employees from one payroll to another聽
Moving employees to a new payroll under the same employer reference聽
Continue to operate바카라 사이트�PAYE바카라 사이트痑nd report payroll information under the same employer reference.聽
Moving employees to a new payroll under a different employer reference聽
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Transfer the payroll records to the new employer reference.
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Send HMRC a Full Payment Submission (FPS) under the old employer reference 바카라 사이트� include leaving details, such as pay and tax figures for the year to date.聽
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Provide employees who have transferred with details of their total pay and deductions up to the date they moved payrolls 바카라 사이트� you do not need to give them a P45.聽
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Send HMRC an FPS under the new employer reference 바카라 사이트� read 바카라 사이트楽ubmit an FPS under a new employer reference바카라 사이트� for more information on what to include.聽
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Update your payroll 바카라 사이트� read 바카라 사이트榃hat to do on your payroll바카라 사이트� for more information.
You must submit the last바카라 사이트疐PS바카라 사이트痜rom the old employer reference before submitting the first바카라 사이트疐PS바카라 사이트痜or the new employer reference.
Submit an FPS under a new employer reference聽
To create your first FPS under a new employer reference, you should:聽
- restart the year-to-date figures from zero聽
- include the full starting details for each employee聽
You should use:聽
- the start date for the new payroll聽
- starter declaration C for Business Reference (BR) codes or codes starting with the letter D聽
- starter declaration B for any other code聽
What to do on your payroll聽
You must deduct these from any payments you make to employees after they move payrolls:聽
- PAYE 迟补虫听
- National Insurance Credits
If you operate a cumulative tax code, use the pay and tax details from the old employer reference.聽
Submit P11D forms if your business has experienced a바카라 사이트�PAYE바카라 사이트痵cheme merger, succession or part scheme transfer聽
The number of P11Ds you need to submit depends on the type of change your business has undergone.聽
惭别谤驳别谤听
If your business has merged PAYE schemes, submit 2 P11D forms for each employee receiving company benefits. You should submit:聽
- one form under the original PAYE바카라 사이트痳eference covering the period up to the merger date聽
- one form under the new PAYE바카라 사이트痳eference, covering the period from the merger date聽
You only need to submit one P11D form if you have undergone a business merger but not a PAYE바카라 사이트痵cheme merger.聽
厂耻肠肠别蝉蝉颈辞苍听
If you have told바카라 사이트�HMRC바카라 사이트痑bout your business succession, submit one P11D form for each employee receiving company benefits. The P11D must:聽
- be submitted under the new PAYE바카라 사이트痳别蹿别谤别苍肠别听
- contain all the information to be reported for both PAYE바카라 사이트痳别蹿别谤别苍肠别蝉听
If you have not told바카라 사이트�HMRC바카라 사이트痑bout your business succession, submit 2 P11D forms for each employee receiving company benefits. You should submit:聽
- one form under the old바카라 사이트�PAYE바카라 사이트痳eference covering the period up to the succession date聽
- one form under the new바카라 사이트�PAYE바카라 사이트痳eference covering the period from the merger date聽
Part scheme transfer聽
Submit 2 P11D forms for each employee receiving company benefits.聽
One form should be submitted under the old PAYE바카라 사이트痳eference and cover the period up to the transfer date.聽
The other should be submitted under the new PAYE바카라 사이트痳eference and cover the period from the merger date.聽
Help and support聽
Contact the HMRC Employer helpline if you need help.
Updates to this page
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Information updated to confirm you must send in a Full Payment Submission (FPS) under the old employer reference before reporting under the new employer reference. A new help and support section has been added.
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Guidance for employers on how many P11Ds must be completed for each employee when a business PAYE scheme merges or changes has been added.
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First published.