The wording of the agreement for short term business visitors has been updated.

The CWG2 Employer Further Guide to PAYE and NICs advises employers that it may be possible to relax strict PAYE requirements for employees on short-term business visits to the UK, and tells employers to contact their HMRC Office. This arrangement provides that PAYE can be disregarded in certain circumstances. If an employer has only one or two employees potentially affected they may like to consider applying for an NT code on an individual basis instead.

This arrangement must only be applied where individuals are:-

• resident in a country with which the UK has a Double Taxation Agreement under which the Dependent Personal Services / Income from Employment Article (Article 15 or the equivalent) is likely to be competent.
• coming to work in the UK for a UK company or the UK branch of an overseas company, or are legally employed by a UK resident employer, but economically employed by a separate non-resident entity.
• expected to stay in the UK for 183 days or less in any twelve month period.

It is also necessary to show that for specifically named employees whose presence in the UK is 60 days or more, the UK Company or branch will not in fact ultimately bear the remuneration specified.

Where agreement is reached and in all other aspects the employee falls within the guidelines, then that part of the remuneration not ultimately borne by the UK Company or branch can fall within this arrangement.