Good News for Small Business Payrolls News
Good News for Small Business Payrolls Services from Modina LLP.
HM Revenue & Customs (HMRC) have announced that they have relaxed reporting PAYE in real time (Real Time Information or RTI): for small businesses which is welcomed and good news for small business payrolls.
HM Revenue & Customs (HMRC) recognise that some small employers who pay employees weekly, or more frequently, but only process their payroll monthly may need longer to adapt to reporting PAYE information in real time. HMRC have therefore agreed a relaxation of reporting arrangements for small businesses.
Until 5 October 2013, employers with fewer than 50 employees, who find it difficult to report every payment to employees at the time of payment, may send information to HMRC by the date of their regular payroll run but no later than the end of the tax month (5th).
HMRC will continue to work with employer representatives during the summer to assess and understand the impact of RTI on the smallest businesses and consider whether they can make improvements to real time reporting which will address their concerns without compromising the benefits of RTI or the success of the Department for Work & Pension’s Universal Credit.
Business employers who may have during the past utilised HMRC essential software tools to determine their particular employee’s income, should be aware that if they’ve got in excess of nine personnel they won’t be capable of employ this technique. Those that run a business will have to think about purchasing some kind of software program or may be seriously think about outsourcing their entire payroll.
For more information on what will be required for Real Time submissions, CLICK HERE for more information.