PART 1: DATES, DEFINITIONS AND OBLIGATIONS
Post Graduate Loan Threshold & Repayment Rate (PGL)
From 6th April 2019
Date from COPYRIGHT © 2021 THE CHARTERED INSTITUTE OF PAYROLL PROFESSIONALS Annual £ Monthly £ Weekly £ Repayment Rate % 06/04/2019 21,000 1,750.00 403.85 6 06/04/2020 21,000 1,750.00 403.85 6 06/04/2020 21,000 1,750.00 403.85 6 Scottish Student Loan Threshold & Repayment Rate (Plan 4) From 6th April 2021 Date from Annual £ Monthly £ Weekly £ Repayment Rate % 06/04/2021 25,000 2,083.33 480.76 9 Priority Student loan repayment orders are classified as Priority Orders in relation to Attachment of Earnings Orders. When a Council Tax Order CTAEO is received at the same time as a student loan it blocks the repayment of the loan until the order is complete. In Scotland all court orders block the operation of a student loan, including the new Plan 4 loan repayments. Returns and remittances Details of deductions made are to be recorded on Full Payment Submissions and the letter ‘Y’ entered on form P45 in the appropriate box where termination of employment takes place, whether deductions have been taken or not. Deductions are paid over to HMRC monthly together with the tax and NICs collected during the same period. No printing, copying or reproduction permitted. Future developments In a bid to modernise the repayment system, the Government implemented a new online service during 2020. This will allow borrowers to manage their loans more efficiently and provide them with more up to date information on balances. This combined with the more frequent data transfers from payroll information should prevent the frequent overpayments which have occurred in the past. SUPPLIER RECOGNITION SCHEME HMRC replaced its two payroll software standards that accredit payroll software as fit for purpose, with a slimmed down version from 1st October 2011, a revised scheme for 2015 and a further
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