Cashiers update – are you ready for Real Time Information
Are you ready for the submission of Real Time Information (RTI)? HM Revenue & Customs have already sent you literature about this. Moore and Smalley are here to help guide you through this new legislation.
What is RTI?
The Government is introducing a Universal Credit system in October 2013. This will replace the multitude of in work tax credits and out of work benefits. To enable the Government to pay correct central credits they need up to date and accurate information about all employees on every pay day. Not only will this be pay and tax details but personal information too.
When will it start?
Pilot schemes are already under way with thousands of employers opting to file under the new legislation before the end of this year. The pilot schemes are aimed at refining the details required in every circumstance for the software developers and us. It is expected that HMRC will invite most employers to start filing under the new RTI regulations from April 2013. The invitation will be issued 4 – 5 weeks before their appointed filing date which will be determined by HMRC. All employers will be filing under RTI by September 2013 to enable the Universal Credit scheme to work effectively
Prior to your first submission under RTI, you must submit your employees’ details to HM Revenue & Customs through the Employers Alignment Service (EAS) to ensure all your data matches the data held by them. This is to ensure that:
– any employees that have left are correctly excluded from the submissions,
– data cross matches correctly,
– personal information for all your employees is accurately stored on your payroll system, to include;
– full correct Christian name and surname – no abbreviations or ‘nick names’;
– National Insurance Number, date of birth and current address.
You will need to check new starter forms carefully to ensure all information is complete and accurate. If your payroll information fails the EAS you will be unable to complete the payroll submission which could result in late or non-payment of salaries and a potential fine for late submission.
If you require any help or advice, our payroll department will be happy to provide all the information you need. Simply contact us on 01772 821021.