Payroll: need to know (Latest version)

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A reminder about the EYU for tax years 2020-21 and beyond 1 June 2021

HMRC guidance has been updated to reflect the fact that the Earlier Year Update (EYU) is no longer a valid submission for tax year 2020-21 or any subsequent tax years.

The information centres on sending an EYU using HMRC’s Basic PAYE Tools (BPT) and confirms that, to make a correction to a figure submitted via Real Time Information (RTI) for a previous tax year, for tax year 2020-21 onwards, a Full Payment Submission (FPS) must be used. For tax years 2018-19 and 2019-20, employers were able to submit either an FPS or an EYU, as HMRC wanted to pilot the changes to ensure that they would not have any detrimental impacts. For tax years 2017-18 and years prior to that, only an EYU should be submitted.

In summary, amendments to tax years ending:

• 5 April 2018 and earlier – will be made by the submission of an EYU only • 5 April 2019 – EYU or FPS will be accepted • 5 April 2020 – EYU or FPS will be accepted • 5 April 2021 – will be made by the submission of an FPS only

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HMRC Employer Bulletins

Employer Bulletin 89: April 2021 16 April 2021

HMRC has published the latest edition of the Employer Bulletin for April 2021.

This issue is absolutely jam packed full of news, and includes details relating to:

COVID-19 updates and information

• • • • • • •

UK transition

Consultation calls and responses

PAYE

Changes to guidance

Information for employees Updates and information

• Getting more information and sending feedback

A couple of the articles have been expanded on within this News Online piece, but payroll professionals are advised to read the Employer Bulletin in full where possible to ensure that they are up to date with all of the latest news that may impact their work.

The Chartered Institute of Payroll Professionals

Payroll: need to know

cipp.org.uk

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