Real Time Filing - Are you ready??

Tuesday, 12th March 2013

From 6th April PAYE needs to be reported in Real Time.

Rather than completing an Annual Return (P35 form)that informs H M Revenue & Customs of the amounts that you have paid and deducted in the year, Real Time Filing requires an equivalent submission on or before every pay day. The on or before is very important.

This will cause the biggest issue to businesses that do not have a regular payroll for example restaurants and bars.

H M Revenue & Customs basic tools download will be able to cope with Real Time Filing, it will be available to download from 2nd April. All other payroll software providers will ensure that they are fully compliant.

Although the basic processing for payroll will not change, this does require you to have a computer and an internet connection which will affect those that still keep manual records.

One of the biggest problems that is forseen with Real Time Filing is actually having accurate data on the people on your payroll. It sounds obvious but do you actually hold their correct full name (correctly spelt, full names, in the right order), date of birth, NI number, address? If any details don't match those held by H M Revenue & Customs this will cause processing issues and in time could cause peoples benefits to stop as this system will be directly linked to the UniversalCredit system.

Only time will tell as to how prepared people are.

If you need any help - you know where we are.