The apprenticeship levy payment and reporting

If there is any amount due for the levy it will be included in your normal monthly remittance to HMRC His Majesty's Revenue and Customs is a non-ministerial department of the UK Government responsible for the collection of taxes, the payment of some forms of state support, the administration of other regulatory regimes including the national minimum wage and the issuance of national insurance numbers..

Your payroll software will calculate what is due, adjust for your allowance and include the balance on your month end summary Month end summary report, highlights the amount to be paid to the HMRC for that tax month., P32 Month end summary report, highlights the amount to be paid to the HMRC for that tax month. / P30 Month end summary report, highlights the amount to be paid to the HMRC for that tax month. or PAYE PAYE or Pay as you earn is an HM Revenue and Customs’ (HMRC) system to collect Income Tax and National Insurance from employment. remittance reports.

You need to start sending EPS Employer Payment Summary is an RTI online submission sent monthly if, you are reclaiming statutory payments, claiming Employment Allowance (EA is only reported once per tax year), reporting Construction Industry Scheme (CIS) deductions or reporting how much Apprenticeship Levy is due. The EPS is also used to report if no employees will be paid for a whole tax month or longer. reports once your apprenticeship levy The Apprenticeship Levy is a UK tax on employers which is used to fund apprenticeship training. It is payable by all employers with an annual pay bill of more than £3 million, at a rate of 0.5% of their total pay bill. It is collected through PAYE alongside other employment taxes. due year to date value is greater than zero. After this, you must then send an EPS each month, even if the apprenticeship levy year to date value returns to zero.

Example

In months 1-3 the apprenticeship levy due is zero (£0.00), no EPS would need to be sent.

In month 4 the apprenticeship levy due raises to £750.00. You must report this to HMRC on an EPS.

All other EPS requirements remain the same, you are still required to send EPS submissions if you have recovery or compensation on statutory payments or CIS deductions suffered CIS subcontractors can claim back some of the tax they have paid on their earnings, known as 'CIS Deductions Suffered'..

You can get more information from GOV.UK
https://www.gov.uk/guidance/pay-apprenticeship-levy