Are you a small business owner? I would certainly take the assumption you might be if you're reading this article. Do you run a company that employs at least 1 person whom is paid under the PAYE system for taxation purpose?
Well if you do, then you should have already been made aware by HMRC about the changes which are due to be brought about to the PAYE system. It's called Real Time Information, referred to as RTI. What that translates to, is that anyone submitting PAYE will, in the future, have to do so at the point that paychecks are raised.
6 April 2013
That's the date you need to remember for this one, this is when HMRC will be swinging things around and from most people's perspective; ‘causing hassle'. Thankfully they're doing all they can to make things a little easier for business owners to undertake the transition. I cannot foresee that everybody is going to enjoy the coming changes.
Here is (a link to) the help which HMRC are providing: click to visit HMRC site. There are plenty of details on the HMRC site, the detail surrounding the new system is all located on the following page: HMRC - RTI P.A.Y.E
- The Tax-man wants YOU to be ready!
Most poignantly is that every business owner, all of whom are obliged to take up the new system will have to face the fact that it requires software by which to make the RTI submissions, and that is to make the assumption that every business owner has access to a computer and the internet, even though these things are common place, even I would hesitate to assume that every single business owner has these two things.
The alternative it to take up the services of a payroll provider; click to view the details about payroll providers
Be ready
HMRC take a beating from business owners every day, but they play an important role in all businesses it is far better to do what you can to work with them than in any way try to work against them. It is up to business owners across the UK to take the steps asked by HMRC to make sure the running of their company is smooth and operates without causing problems which not likely would cause more headache than simply having done what was asked of them originally.
