# The Tax Credits (Payment by Employers) Regulations 1999, Regulation 6: Relevant employer’s or relevant subsequent employer’s obligation to pay tax credits


(1) On receipt of a start notification in respect of an employee the relevant employer or the relevant subsequent employer shall, if he reasonably expects that employee to remain in his employment and receive payment for three or more consecutive pay periods commencing with the pay period in which the commencement date contained in that start notification falls, calculate the tax credit to which that employee is entitled to be paid in each pay period during which the employer will be responsible for paying tax credit to that employee in accordance with the start notification.
(2) Subject to paragraph (3), where the employer–
(a) has received a start notification in respect of an employee, and
(b) makes a payment of emoluments to that employee on or after the commencement date contained in that start notification,
he shall pay to that employee the tax credit to which the employee is entitled during the pay period to which the payment of emoluments relates.
(3) Where the employer–
(a) has received a start notification in respect of an employee but does not reasonably expect that employee to remain in his employment and receive payment for three or more consecutive pay periods as mentioned in paragraph (1); or
(b) becomes aware before the first date on which a payment of emoluments is due following the commencement date contained in that start notification that an employee in respect of whom a start notification has been received has left, or will leave, his employment before the end of the third consecutive pay period,
he shall return the start notification and the uncompleted form of certificate of payments to the Board, indicating on the start notification his reasons for doing so.
(4) The employer shall record on the employee’s payslip for the relevant pay period, as a credit described as a “tax credit”, any payment made under paragraph (2).
(5) Any amount paid under paragraph (2) shall be recorded on the deductions working sheet for the employee which the employer is required to prepare under regulation 38 of the Employments Regulations.
(6) The employer shall record on the certificate referred to in regulation 39 of the Employments Regulations the total tax credit paid to each employee for the tax year to which the certificate relates.
(7) The employer shall record on the certificate referred to in regulation 43 of the Employments Regulations the total tax credit paid for the tax year to which the certificate relates.
(8) Where the employer makes a payment to an employee of an amount of tax credit which exceeds the amount of tax credit which that employee is entitled to be paid in accordance with the start notification, the employer may recover from that employee an amount not exceeding the excess.
(9) No payment of tax credit under paragraph (2) shall be capable of attachment under any enactment, or shall be used by way of set-off or otherwise reduced, extinguished or terminated except in accordance with these Regulations.

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Source: https://www.legislation.gov.uk/uksi/1999/3219/regulation/6 (the official version)
Page: https://openlegislation.uk/tax-credits-payment-by-employers-regulations-1999/regulation-6
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.