At the end of the tax year you may think about disposing of old payroll records which are more than six years old, and HMRC is doing just the same. It is removing payroll data more than six years old from the Business Tax Account.
The following data will be removed:
- tax year 2013/14 – by the end of February 2021
- tax year 2014/15 – in April 2021
If you think there is an issue to be resolved in either of these years, perhaps a PAYE credit which has not been used – take a copy of that data now.Forms P60 and P45
Don’t forget that HMRC will no longer issue most employers with blank P60 and P45 forms. All employers who are required to submit RTI returns online have to print these forms using their own free or commercial software.
The few employers who have an exemption from online filing can order P60 and P45 forms by phone.Earlier year update
The earlier year update (EYU) is being abolished for 2020/21 and later years. Until 5 April 2021 you can use an EYU to amended figures for 2019/20 or an earlier tax year, but submission of an EYU will not be accepted after that date. All adjustments to earlier years will have to be made on an FPS.Final submission
The last FPS for the year needs to be flagged as ‘final’. Some payroll software doesn’t allow a final indicator to be included on the FPS. In this case submit an EPS with the final submission indicator ticked.Written by the Tax Advice Network