Doing a late tax return for 2012/13 for new client. The business had a PAYE scheme during 2012/13 with 5 employees on it. Client also says that they paid 3 members of staff in cash during the year and they were below the LEL and not included on the payroll. With the business having a PAYE scheme, should these employees have been included on the payroll or can they be omitted? I know that with RTI you have to report all employee payments if you have a PAYE scheme.
There are no payslips for these staff and only record is cash being withdrawn from bank.
Thanks.