Did you know that if your business has employees or you’re a sole trader registered for PAYE you MUST submit your Tax and National Insurance information to HM Revenue & Customs EVERY time you run a payroll?
If the answer is “Yes” then good – you can skip to the end of this blog, sit back and enjoy the video of ‘The Final Countdown’ by 80s rock gods Europe! ;o)
If the answer is “No”, then keep reading because it’s something that you are legally required to do since new Real Time Information (RTI) legislation was introduced in April 2013!
So what’s RTI?
In a nutshell, Real Time Information (RTI) legislation was introduced to give HMRC more accurate and up-to-date information on Tax and National Insurance contributions by employees throughout the year, rather than just at Payroll Year End. What’s more, manual payroll is no longer allowed and you must now use RTI-enabled software (like Sage One Payroll) to submit your details electronically.
Although some people predicted that the new system would create an extra burden for small employers, we’ve found that it’s gone pretty smoothly for our customers after extensive planning and testing. Working closely with HMRC and customer focus groups we’ve made sure to keep things as simple as possible so that it’s nothing more than a click of a button to send your information to them at the end of a payroll run.
Don’t ignore it!
Although you may have read that HMRC extended the RTI deadline for SOME businesses until 5th October (and more recently that they are considering extending it further until April 2014) – don’t be fooled into thinking that RTI is something that can be ignored. It can’t. The extension only applies to a relatively small number of businesses who fit specific criteria and if you haven’t already adopted the new system you will have to eventually or risk a possible fine from HMRC.
At just £5, £10 or £15 per month for 5, 10 or 15 employees (which includes free 24hr telephone and email support), 1,000s of small businesses have already discovered that our Sage One Payroll software is the quickest, easiest and best value for money way to ensure that their business is RTI-compliant.
So, my advice if you haven’t already is to sign up for a free 30 day trial of Sage One Payroll now then sit back and enjoy the awesome video below. With just over 2 months to go until 5th October this is The Final Countdown!