PAYE70250 - PAYE operation: specific employments: fire fighters - part time
Payments
Part-time fire fighters are paid a retaining fee plus service fees, which are usually under the minimum PAYE income limit. They are also paid a bounty at various stages of service.
Long service bounty arrangements
Fire authorities provide HMRC with lists before the start of each tax year showing
- The name, address and National Insurance number of each part time fireman who will qualify for a bounty payment in the coming year
And
- An estimate of the bounty payable to each where this is over £50 (see the Employment Income Manual (EIM) at EIM63620)
- Details of each recipient's HMRC office and reference if known.
This is to avoid underpayments arising and to enable tax codes to be issued where necessary.
HMRC action
Amend the relevant individual’s tax code where
- A fire fighter's total earnings plus fees and any bounty payment exceeds the minimum PAYE income limit
The fire authority should use the code specified for emergency use if
- It has not received a coding notice at the time bounty payment falls due
And
- The total earnings from fire fighting for the year are above the minimum PAYE income limit.