PAYE81519 | PAYE operation: international employments: making a PAYE notification for a globally mobile employee

Sections 690A & 690D ITEPA 2003

For the purposes of this guidance, a PAYE notification to treat a specified proportion of a globally mobile employee’s income as not being PAYE income is referred to as ‘a GME PAYE notification’.

GME PAYE notifications include notifications made for internationally mobile employees, qualifying new residents and tax treaty non-resident employees.

A GME PAYE notification for a tax year can only be made during that tax year.

Who can make a notification?

A notification must be made by an appropriate person. An appropriate person for the purposes of sections 690A-690D is defined within section 690A(9) ITEPA 2003 and is the person designated by the employer to make the notification, or the employer if no designation is made.

There is no set form that an employer must provide to make a valid designation. An agent authority form 64-8 is acceptable, or any letter provided by the employer that states that an individual or company can act on behalf of the employer for the purposes of the s.690 notification process. The designation can be uploaded as part of making a notification through the online platform.

Similarly, a notification in relation to a tax treaty non-resident employee can be made either by the employer, or a person designated by the employer to make the notification.

How can a notification be made?

Notifications can be made either online or via paper form available on request. Once a notification is sent to HMRC and HMRC have acknowledged receipt, the employer can operate PAYE on the proportion specified. We recommend that notifications are made online so that this can remove any delays in waiting to receive HMRC’s acknowledgement.

You can make an online notification on the gov.uk page entitled 'Tell HMRC that you'll operate PAYE on a proportion of an employee's income'

If an employer makes a GME PAYE notification for a tax year and the employee’s circumstances change later in that year, the employer can make a new GME PAYE notification for the tax year reflecting those changes. This will assist employees in paying the correct amount of tax through the tax year and minimise any over or underpayments of tax when the employee files their Self Assessment return at the end of the tax year. Further guidance on this can be found at PAYE81520.