COMPLIANCE
A s we all know, getting data the numerical data is correct? Yes, this is imperative, but have you also considered the importance of the employee’s own data? If the data we use is incorrect and needs changing, will HMRC pick this up, or is it the employee’s responsibility to get it sorted? HMRC looks at various fields to match the record from your system to the record it holds, but if we don’t use the right data or if we add ‘temporary’ / incorrect data, it’s very easy for a mismatch or no match to happen. In this article, we’ll look at three key right is our number one priority in payroll. But how often do we focus only on ensuring areas which can cause an issue from the other side of the RTI fence, and how we can play a part in solving them. Why is data quality important? Reflecting on the importance of data quality for employees, payroll professionals and ultimately HMRC, Ben said, “Getting this right helps to make sure employees are paid correctly – including paying the right tax and National Insurance contributions (NICs), which protects their entitlement to state benefits and the state pension.” National Insurance numbers (NINOs) NINOs are the most obvious piece of data to talk about as HMRC had over 700,000 records it couldn’t match to an individual NINO in 2022/23. NINOs stay with an individual for life. However, from an RTI perspective, it’s worth noting that this isn’t a mandatory field. You may ask why. Well, you may not have this information, the employee may be under 16 or they may have only recently moved to the UK to work, and so have only just applied to the Department for Work and Pensions (DWP) for a “HM Revenue and Customs had over 700,000 records it couldn’t match to an individual National Insurance number in 2022/23”
Data quality: the impacts on RTI
Cybill Watkins MCIPP, group product legislation manager, Zellis and Ben Dudley, deputy director of customer services, HM Revenue and Customs (HMRC) look at the key areas which cause issues with real time information (RTI) data received by HMRC
| Professional in Payroll, Pensions and Reward | June 2024 | Issue 101 22
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