Payroll actions when Ceasing Trading
​Closing the PAYE for Employers Scheme
​Closing your PayFit Account
​

This article will walk you through the steps you need to take when ceasing trading. We will cover what needs to be done from a payroll perspective as well as how to close a PAYE for employers scheme.

There are a few steps to follow when your company is closing down:

1️⃣ Decide on a date when is the company officially ceasing.

2️⃣ Terminate employees' contracts considering redundancy payments. The leave date can be on or before the officially ceasing date. Please find more information on Contract Termination via this link.

3️⃣ Go to HMRC preferences in the app and activate the toggle 'Final submission'. To do this, you'll need to go to My Company > Company Settings > HMRC Information > HMRC Settings > toggle Final Submission.

PayFit will send a submission to HMRC after running payroll that will include the 'final submission' indicator.

After running payroll, the last payslip and the P45 will be generated for all employees and stored in the Documents section.

PayFit will send a submission to HMRC after running payroll that will include the 'final submission' and the 'ceased PAYE scheme' indicator.

To enable to scheme ceased toggle, just go to Company Settings > HMRC Information > HMRC Settings > toggle Scheme ceased > Add date > click Save.

If you don't activate the 'scheme ceased' toggle, HMRC will keep the PAYE Scheme open for 12 months and if no employees will be added by the end of this period, HMRC will close the scheme.

After running payroll, you can now give your employees their P45 documents that have been generated and stored in the Documents section.

You can let the PayFit Support Team that your company is closing and you would like to cancel the subscription on the PayFit system by contacting a member of our team. Information on how to do this can be found here: How Do I Contact PayFit Support?

💡 You will always have access to your PayFit account after you leave so you can look back on any documents or reports. You just won't be able to make any changes. 💡