Significant changes to the way payroll information needs to be submitted to HM Revenue and Customs are only a few weeks away. The new system of Real Time Information (RTI) is mandatory for all employers and is to be implemented for the majority of employers from April this year.
Under the current PAYE system the details of payments and deductions made to individual employees are not submitted to HMRC until the end of the tax year. The full breakdown of payments and deductions form part of the year end P35 and P14 forms which are submitted on a tax year basis.
Under RTI employers or their agents will be required to make regular payroll submissions for each pay period during the year detailing payments and deductions when wages are paid.