Quarterly payments

From 6 April 2003, the definition of a "small employer" for the purposes of entitlement to make payments to their Accounts Office quarterly is changed by The Income Tax (Sub-contractors in the Construction Industry and Employments) (Amendment) Regulations 2003. An employer is a "small employer" if the total of

• PAYE income tax, before any adjustment for tax credit funding, plus
• PAYE income tax deducted on account from payments to subcontractors in the Construction Industry, plus
• primary and secondary Class 1 NICs, before any adjustment for tax credit funding and excluding any secondary NICs paid by employees under agreements or elections for share option schemes, plus
• student loan deductions, less
• tax credit payments, less
• amounts of SSP, SMP, SPP and SAP that the employer is entitled to recover, less
• PAYE income tax paid on account to a contractor in the Construction Industry by a subcontractor that is a limited company,

is not more than £;1500 per month on average throughout the tax year.
Payroll Briefing 19 - 14 April 2003