HMRC’s April 2026 Employer Bulletin

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On 15 April 2026, HMRC published their first Employer Bulletin of tax year 2026/27. This is published six times a year giving employers and agents payroll news and information on topics and issues that may affect them. ICB covers the topics covered in this edition.

PAYE

This section covers the following topics:

  • Currently, where National Insurance Contributions (NICs) are over-deducted and cannot be corrected through RTI, for example a previous tax year, HMRC require employers to send a letter.  HMRC will then send a payment by bank transfer.   The first section details how HMRC are changing their internal functionality in the future and whilst the letter process will remain, refunds will be credited to the employer’s PAYE online account.  Importantly, there are no changes now;
  • The second topic covers increases to the rates for the National and Living Minimum Wage.  ICB welcomes the line ‘You must use the new rates from the first pay period starting on or after 1 April 2026’ and links to the GoToStage.com website that houses HMRC’s collection of recorded National Minimum Wage videos;
  • The next section is relevant if employers ever have to send HMRC a notification they will only operate PAYE on a proportion of an employee's income where they are globally mobile (this was previously known as a ‘section 690’).  For tax year 2026/27 and onwards, where such a notification is sent, employers must ensure that the percentage of non-UK / non-PAYE earnings does not exceed 30%;
  • If employers use PAYE Online, read about the planned updates to the service in the next section.  This concerns the display of information about credit allocations and end of tax year adjustments.  Expect these to show before the end of April 2026;
  • If employers are waiting for progress updates with a PAYE Settlement Agreement enquiry, be aware HMRC are now sending these via text message.  ICB is pleased to see the link to the guidance ‘Check if a text message you've received from HMRC is genuine’;
  • As we have covered, the next section confirms the Small Employers’ Relief compensation rate increased from 8.5% to 9% for tax year 2026/27.  This applies to child-related statutory payments such as SMP.  We believe the link to ‘Rates and thresholds for employers 2025 to 2026’ should point to the current tax year (2026/27);
  • There is a repeat that employment law changes in Northern Ireland mean Statutory Parental Bereavement Leave is extended to bereavements before the 24th week of pregnancy.  Further, Statutory Parental Bereavement Pay will become a day one right which means the criterion of service and actual earnings are removed.  This will not apply to employees with a contract under Great British employment law legislation.  The Bulletin points to February’s edition;
  • There is a repeat of information about the 2026/27 Student Loan thresholds and rates which contains a link to the latest Starter Checklist (updated for 2026/27 and onwards).  The section is also a reminder that employers should use a start notice (SL1 or PGL1) issued by HMRC and it is payroll software that will make a deduction if the employee’s earnings are above the relevant threshold;
  • The next section details the P11D and P11D(b) reporting deadlines for tax year 2025/26, followed by confirmation the Payrolling Service for BiKs voluntary registration service is closed (ahead of mandation in April 2027).  Employers cannot voluntarily payroll benefits and expenses in tax year 2026/27 unless they registered by the start of the tax year;
  • The last PAYE section talks again about the creation of duplicate employees on HMRC’s systems and how this often happens because of a change in the RTI field Payroll ID.  It is common to change the Payroll ID when moving from one provider to another.  This section details the correct process

Tax Updates and Changes to Guidance

This section covers the following topics:

  • Investment Zone special tax sites in Scotland;
  • The removal of the tax relief for non-reimbursed homeworking expenses from April 2026;
  • Expanding workplace benefits relief and the changes from April 2026;
  • The CIS changes from April 2026, importantly the requirement to file nil returns unless HMRC are informed in advance;
  • A repeat of the change to voluntary National Insurance contributions for periods spent abroad and the changes from April 2026 (for tax years 2026/27 onwards); and
  • The Official Rate of Interest for the quarter starting 06 April 2026

General Information and Customer Support

The final section includes information on:

  • A reminder that tax refunds are no longer paid automatically and must be claimed.  One way of doing this is via the online P800 refund tool, however, this can also be done via HMRC’s app and the update to this section reminds users that personal and bank details must be correct;
  • The Administrative Burdens Advisory Board (ABAB) survey is open and an opportunity to give feedback to HMRC on the issues affecting them, all in the name of scrutinising HMRC’s performance;
  • HMRC give an update on paying the High Income Child Benefit Charge via PAYE, i.e. via a tax code amendment.  This may avoid the need to complete a Self-Assessment tax return.  Whilst details can be found via the HMRC app, details can also be found online; and
  • There is a reminder about the SSP changes and, similarly, a reminder about the Parental Leave and Pay changes, both from 06 April 2026

For Bookkeepers

A bumper Bulletin as we start tax year 2026/27.  As always, ICB promotes it and ensures anything relevant to members is covered in the monthly Wages Wednesdays webinars.

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