RTI: HMRC pins down annual scheme glitch

Employers are unable to use the real time PAYE tax system to report new annual schemes or changes in payment dates for existing annual schemes because of a software glitch.

HMRC says that it hopes to fix the problem by the end of July. In the meantime, employers can register with the scheme and complete an Employer Payment Summary (EPS) showing a period of inactivity and contact HMRC once the fix is available to get the scheme changed to an annual basis.

This advice applies if...

Continued...

» Register now

The full article is available to registered AccountingWEB members only. To read the rest of this article you’ll need to login or register.

Registration is FREE and allows you to view all content, ask questions, comment and much more.

Comments

If only that were the only RTI problem....

BryanS1958 | | Permalink

Add to that updates taking ages to show on the 'customer's' portal, rejections of RTI if the password is too long, even though the same password is accepted to log in on the HMRC website, etc.  I'm, sure there are lots of other problems, these are just a couple I'm aware of!

John Stokdyk's picture

Further issue with tax codes and P11Ds

John Stokdyk | | Permalink

Baker Tilly tax partner David Heaton has reported a further problem with adjustments for benefits reported on P11Ds disappearing from tax codes issued following the introduction of RTI.

The explanation he came up with was that some employers didn’t include every employee record on the first Employer Alignment Submission (EAS) filed before they started sending RTI data, and neglected to set a flag indicating it was a partial submssion. 

When missing employees were included in a second EAS, HMRC's computers assumed they’d left and cancelled their record – along with the record of P11D benefits – and sent out the wrong tax code. 

The Sunday Times reported over the weekend that problem could affect as many as 40,000 employees, but HMRC said it "did not recognise that number".

In Baker Tilly's weekly tax brief, Heaton concluded: "The big question is why were the first EAS/FPS accepted as a complete employee listing when HMRC is aware that many employers have weekly and monthly staff on the same payroll reference, so not all would be included?"