relaxed for small businesses
for small businesses, such as freelance contractors, has been made over the
timing of the new RTI (real time information) reporting. Many contractors and freelancers are
concerned about RTI, particularly those working without the assistance of a
contractor accountant. The concession is the result of efforts made by several
accounting bodies who continue to be concerned about the impact of RTI.
will allow small businesses reporting until 5th October 2013 to make
submissions under RTI when they complete their main payroll run. This is provided that it is on or before the
5th of the month (the last day of the tax month). This electronic submission could be made
after payments have been made to employees.
This is a
change to the requirement that a full payment submission (FPS) is filed
electronically to HMRC before payment is made to employees. Also, an employer’s payment summary (EPS)
must be made if statutory payments (for example maternity pay or sick pay) to
HMRC are made.
that this relaxation for small businesses will allow them breathing space until
October to understand fully the new system.