Paying Tax Under a Clearance Directive

Payment Reference and Method

Use the official Payment Options guidance and quote the payment-slip number or employee’s tax reference number. GIRO does not apply to clearance cases. Arrange payment against the directive’s due date rather than relying on an employee’s ordinary instalment arrangement.

Use the Directive’s Own Payment Deadline

The amount stated in the Directive to Pay Tax must be paid within ten days from the directive date; the due date is also shown on the document. Record that date when the directive arrives rather than waiting for the employee’s next payslip, final bank transfer or ordinary income-tax instalment. A pending payroll reconciliation should not be mistaken for an automatic extension of the clearance payment period.

Before paying, check that the directive belongs to the correct employee and match the amount with the withheld-pay records and any payment already made. Use the payment-slip number or the employee’s tax reference number as instructed. As practical preparation, assign responsibility for payment and retain the transaction confirmation with the directive so a finance handover does not leave the liability untracked.

Choose a Clearance-Compatible Payment Route

The general IRAS payment page covers multiple tax types and promotes GIRO in other contexts, but the clearance-specific source expressly says GIRO is not applicable to clearance cases. Follow the available payment options for the relevant tax and use the correct reference instead of assuming an existing employee GIRO arrangement settles the directive. Reconcile the payment confirmation to the directive and final payroll record. The payment step follows the clearance instruction; it is separate from preparing Form IR21 or deciding whether a particular employee was exempt from clearance in the first place.