Real time information

Produced by Tolley in association with

Employment Tax

Guidance

Article Summary

This guidance note provides an overview of Real Time Information (RTI) reporting requirements for UK employers. RTI is the system by which employers must submit payroll data to HMRC each time employees are paid. The note explains that RTI replaced traditional year-end reporting processes. Employers must now submit a Full Payment Submission (FPS) detailing employee pay and deductions around the time of each payroll run. An Employer Payment Summary (EPS) is also required to reconcile payments made to HMRC.The FPS contains extensive payroll data for the period including employee details, pay, deductions and payment method. The EPS allows employers to adjust payments to HMRC for statutory payments. Failure to submit FPS and EPS returns can result in penalties. The guidance covers specific FPS data items like starter declarations, passport numbers and late reporting reasons. It also outlines important procedures around new starters, leavers, and year-end reporting. While P45s and P46s still exist, there is no need to submit them to HMRC. In summary, this is a key guidance note for employers and practitioners outlining RTI reporting obligations which are now an essential part of UK payroll compliance.

Access this article and thousands of others like it
free for 7 days with a trial of TolleyGuidance.

TAKE A FREE TRIAL

Vince Ashall

Payroll Consultant & Trainer at VA Payroll Services

Involved in payroll for more years than I care to remember! Initially in the NHS, where i oversaw the development of the NHS's bespoke payroll system (SPS Standard Payroll System), and latterly in the private sector. Served for 13 years as a MNT for a private sector defined benefit pension scheme. Have had articles published in payroll publications and and provide updates for various publishers. Fellow of the CIPP and gained a MSc in Payroll & Business Management in 2002. Now a self employed payroll and pensions consultant

Popular Articles

Employment Tax

Loans provided to employees

Loans provided to employeesEmployers sometimes provide their employees with loans, sometimes charging interest and often not, either as part of the reward package or to help the individual meet significant expenditure. For example, it is common to provide loans for the purchase of annual travel

14 Jul 2020 12:11 | Produced by Tolley Read more

Owner-Managed Businesses

Relief for employee share schemes

Relief for employee share schemesRemuneration expenses are generally deductible for corporation tax purposes as they are considered to be incurred wholly and exclusively for the purposes of the trade. However, expenses relating to shares are usually classed as capital and are therefore not

14 Jul 2020 13:21 | Produced by Tolley Read more

Value Added Tax

Reverse charge ― buying in services from outside the UK

Reverse charge ― buying in services from outside the UKThis guidance note covers the reverse charge that applies to services that have been bought in from outside the UK. For an overview of VAT and international services more broadly, see the International services ― overview guidance note. For

15 Dec 2020 14:02 | Produced by Tolley Read more

Spring Budget 2024

��Ӱ��