Real-time PAYE reporting begins

Real-time PAYE reporting requirements (RTI) begin tomorrow (April 6) – bringing with them significant changes for employers.

tax time_275_183In some cases this will mean altering payroll processes in order to meet your new obligations.

If you are looking for more information, we would recommend looking at the RTI section of HMRC’s website, here. There’s lots of information on why RTI is being introduced, what the rules are, what employers will need to do in order to report under the new regime.

Another useful source of independent news is, a not-for-profit collaboration set up to provide an independent view on RTI and supported by a number of professional accountancy bodies and organizations such as the BCC and FSB.

While RTI may alleviate some of the burden of PAYE compliance, for example removing the requirement to submit starter and leaver forms, we believe that for many small employers it will create additional work and costs.

The NFU has therefore sought to highlight and alleviate the difficulties and burdens of RTI for our members by engaging extensively with HMRC and DWP.

This has resulted in a number of successes, particularly around the requirement for employers to submit RTI returns on or before they pay their workers. For instance, a change in the original legislation will allow payments to daily-paid harvest casuals to be reported within seven days of the payment

There was also a very recent announcement from HMRC of a much wider temporary relaxation, allowing many payments to be reported when the next payroll is run.

We fully appreciate that RTI reporting requirements may cause concern and difficulties for members and we will continue to call for further changes.

We are pleased HMRC has agreed to continue to work with representative bodies such as the NFU, and will not impose penalties for late submissions of RTI returns during the first 12 months.

If you have specific questions or concerns, please contact NFU CallFirst on 0870 845 8458.

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