Introduction
- This is our approach to all articles.
- The reason you are receiving this article is that the above are in the process of being dealt with.
- This process requires:
- reporting to HM Revenue and Customs (HMRC) on the previous tax year (which ended on 5 April).
- giving all employees a P60.
- preparing for the new tax year, starting 6 April.
Documents Included
- You will be sent the following:
- Annual payroll summaries/P11 cards.
- End of Year EPS (Employer’s Payment Summary) Acknowledgement.
- Annual P60 for retention or distribution to the relevant employee(s) before 31 May.
- If you are a director, then a copy of the P60 will be placed in your personal Telegram group for completion of your Self-Assessment Tax Return (SATR).
What is the Process?
- The End of Year process is a consolidation of the total number of employees, salaries and liabilities calculated for the payroll tax year and is done after the last pay run (month 12).
- It is the final process of the payroll for that year.
- This process must be prepared, reviewed, documents generated and electronically submitted to HM Revenue & Customs (HMRC) by 19 April of each year.
- There are several steps that need to be taken to fulfil this annual requirement:
- Avar ensures no other adjustments are to be calculated.
- Avar checks that month 1 to 12 have been finalised and submitted to HMRC via Real-Time.
- Avar backs up each dataset before commencing the End of Year process.
- Avar checks and generates each employee’s P11 card.
- This is done for every employee employed in the tax year.
- Once checked, this is then submitted to HMRC electronically via our agent Gateway.
- The data submitted is called an Employer Payment Summary (EPS).
- The submission Acknowledgement is then saved and converted to PDF.
- This is evidence of the submission before 19 April deadline and can be used in the event of any queries by HMRC.
- The next step is to prepare Forms P60 for each active employee.
- The data is then backed up before completing the Year End.
- All documents generated are then passed onto each Employer to deal with as instructed.