Real Time Information Helpsheet
ALL employers will be affected by the biggest change to PAYE since it was introduced in 1944. The new RTI system is being introduced to automate the provision of payroll information to H M Revenue & Customs, and it is also a key component in preparing for the introduction of Universal Tax Credit.
When will you be affected?
All employers will need to be complying with RTI by 6 October 2013 at the latest, but most employers will start operating under RTI from 6 April 2013. Some employers have already moved onto RTI as part of the pilot schemes that are already in operation. HMRC are due to write to all employers to advise them of their start date, and we expect letters to go out over the next couple of months.
What do I need to do now?
Firstly, you may need to register as an employer if previously all of your employees have been paid at a level where no tax or national insurance has been due. If you need help with this, please let us know. We will generally recommend that new employers start their registration on 6 April 2013.
Secondly, you need to make sure that you will either:
Most of the software providers are either compliant already, or will be ready before 5 April 2013. HMRC will not endorse any particular products, but they do include a list of software providers on their website: http://www.hmrc.gov.uk/softwaredevelopers/paye/rti-software-forms.htm. We are pleased to confirm that our software is already compliant, so those employers who use us as their payroll bureau can be reassured that we are prepared for RTI. It is clear that RTI is going to be more onerous than the current system, so sadly this will mean an increase in fees. We will discuss these with you if applicable. If you use another payroll bureau, please ensure that they will be RTI compliant.
Finally, you should ensure that your payroll data is correct, and if applicable, ensure that the data held by your payroll bureau is also correct. Specifically you should ensure:
In addition you should also have correct address details, and if an employee has moved since 5 April 2012, you should ask them to notify HMRC of their new address.
If you have any queries regarding the above, please contact us on 01580 765088.
|Coronavirus update 11|
|Coronavirus update 10|
|Coronavirus update 9|
|Coronavirus update 8|
|Coronavirus update 7|
|Coronavirus update 6|
|Coronavirus update 5|
|Coronavirus update 4|
|Coronavirus update 3|
|Coronavirus update 2|
|Coronavirus update 1|
|Companies & LLP's|
|Tax Refund Scams|
|Self Assess. Penalty|