HMRC confirmed that ‘real time information’, a new system intended to improve the operation of PAYE, will go ahead.
Employers will report tax and NIC deductions when they pay their employees, rather than at the end of the tax year.
HMRC said a pilot will begin in April 2012 with volunteer employers and software developers, and work to ensure data quality will begin in October 2011 and continue until all employers have moved to the new system successfully.
Software providers and their clients will be invited to participate in the pilot.
Consultation on RTI closed in February. Stephen Banyard, HMRC, said: ‘We have listened to the concerns of payroll providers and employers surrounding the proposed mandation date and amended our plans to take these into account.’
Subject to successful completion of the pilot, employers will be required to start using RTI from April 2013 and all employers will be using the system by October 2013.
HMRC confirmed that ‘real time information’, a new system intended to improve the operation of PAYE, will go ahead.
Employers will report tax and NIC deductions when they pay their employees, rather than at the end of the tax year.
HMRC said a pilot will begin in April 2012 with volunteer employers and software developers, and work to ensure data quality will begin in October 2011 and continue until all employers have moved to the new system successfully.
Software providers and their clients will be invited to participate in the pilot.
Consultation on RTI closed in February. Stephen Banyard, HMRC, said: ‘We have listened to the concerns of payroll providers and employers surrounding the proposed mandation date and amended our plans to take these into account.’
Subject to successful completion of the pilot, employers will be required to start using RTI from April 2013 and all employers will be using the system by October 2013.
