OT45470 - Non-residents working on the UK continental shelf: Agency and temporary workers: PAYE: Certification scheme: Withdrawal of Certificates

Income Tax (Pay As You Earn) Regulations 2003, regulations 84A - 84D 

Social Security (Contributions) Regulations 2001, regulations 114 and 114A – D 

HMRC will carry out periodic checks to ensure the foreign employer is complying with the terms of the certificate.   

Outline 

An officer of HMRC may, by notice in writing to the person to whom the UK Continental Shelf Workers Certificate (under Regulation 114A of the Social Security (Contributions) Regulations 2001 and Regulation 84A of the Income Tax (PAYE) Regulations 2003) was issued, cancel an exemption certificate from such date, not earlier than 30 days after service of the notice, as may be specified in the notice. 

Grounds for cancellation 

A certificate may be withdrawn when HMRC is no longer satisfied that the person who applied for it will comply with any obligations imposed on him by the relevant legislation. Grounds for withdrawal would include failure to operate PAYE or pay secondary Class 1 NIC. 

Pre-cancellation warnings 

Immediately after the failure is detected, LB Oil & Gas will warn the non-resident or his agent that if the failure is not corrected within a reasonable time the certificate will be cancelled. If the failure is not rectified within the time scale specified in the warning letter a notice of cancellation will be sent to all licensees to which certificates have been issued.