RTI – The Submission Types

Friday, January 13th, 2012

We are continuing to look at ‘RTI – The What’ in this Newsletter, starting to focus on exactly what information will be contained in the RTI submissions themselves.  However, it is necessary to say, again, that RTI does not change the fundamentals of payroll processing.  All activities that are currently performed, i.e. calculating and deducting tax and Class 1 National Insurance, will remain unchanged.  RTI is only a change to PAYE reporting.  At the time an employee is paid, or before, payroll software, if used, will gather the necessary information, which is then transmitted to HMRC using one of the following routes:

  • Internet – using the Government Gateway or The Employer Database using the Basic Tools package on the HMRC Website, or
  • Electronic Data Interchange (EDI)

There are five types of submissions that RTI Employers can be required to make.  If the payroll is outsourced, say to a payroll bureau, they may make these on the employer’s behalf.  It is worth getting used to these new acronyms – note that not all of the submissions may be necessary for all employers:

  1. Employer Alignment Submission (EAS)
  2. Full Payment Submission (FPS)
  3. Employer Payment Summary (EPS)
  4. National Insurance Verification Request (NVR)
  5. Earlier Year Update (EYU)

Over the next few weeks, we will be looking at the individual submissions and the circumstances in which they will be used.  However, below, we have produced a list of all the RTI data that HMRC specified that they required in their initial guidance to software developers in May 2011 (though we have added one code, 118, which was advised at a later date):

Field Number Detail Comment
1 HMRC Office Number For example, if the Employer’s PAYE reference is 901/A111, the HMRC Office Number is 901
2 Employer PAYE Reference For example, if the Employer’s PAYE reference is 901/A111, the Reference is A111
3 Employer Accounts Office Reference The reference is in the format 910RR00012345
5 National Insurance Number (NINO) Must be shown on all RTI submissions if known and verified on an official document 
5A Title
6 Surname or Family name Must be shown on all RTI submissions if known and verified on an official document 
7 Forename or given name Must be shown on all RTI submissions if known and verified on an official document (or enter initial if forename is not known)
8 Initials You must show an employee’s forename(s) or initial(s) on all RTI submissions.
9 Second forename Use your employee’s second full forename and don’t use nicknames or familiar names (for example, don’t put Jim instead of James or Liz instead of Elizabeth).
10 Date of Birth Actual not default date of birth. Must be shown on all RTI submissions if known and verified on an official document 
11 Current Gender Must be shown on all RTI submissions if known and verified on an official document 
12 Passport Number Only reported if it is stored on the payroll system as part of the recruitment process after joining RTI
13 Address line 1  Mandatory if NINO unknown and for new starters
14 Address line 2  Mandatory if NINO unknown and for new starters
15 Address line 3
16 Address line 4
17 UK Postcode Enter a valid UK postcode.  Do not make an entry here if your employee lives in a foreign country.
18 Foreign Country Make an entry here if your employee’s address is outside the UK, Channel Islands and Isle of Man.
18A Income Tax year to which submission relates
Note that where an employee has two or more records within the same scheme, fields 24 – 86Ba may be completed more than once
24 Starting Date P45 / P46 procedure no longer applies and new starter information is submitted via RTI – make a date entry when reporting that the first payment is being made to the starting employee.  This is no separate process of advising new starters to HMRC
24A Starting declaration If a ‘Starting Date’ has been entered above, this starting declaration must be completed:

  1. this is their first job since the start of the tax year
  2. this is currently their only job
  3. they have another job or pension

Enter A, B or C, corresponding with the employee’s declaration. If the employee does not provide this information, complete declaration ‘C’ and use 0T code on a week 1/month 1 basis.

For new occupational pensioners indicate ‘B’, unless the individual is continuing to work, in which case, indicate ‘C’, and enter the annual amount.

For employees seconded to work in the UK indicate ‘B’ and complete one of the indicators below.

27 Indicator of Student Loan deduction needed Enter ‘Y’ if applicable
Note that only one of the indicators 28, 29 or 30 should be present if the employee is seconded to work in the UK
28 Indicator if intention to live in UK for 6 months or more ‘Yes’ if the employee has been seconded to work in the UK and intends to live in the UK for more than six months 
29 Indicator if intention to live in UK for less than 6 months ‘Yes’ if the employee has been seconded to work in theUKand intends to live in theUKfor less than six months
30 Indicator if individual will be working both in / out of the UK but living abroad ‘Yes’ if the employee has been seconded to work in the UK and will be working for both inside and outside the UK, but will be living abroad
31 EEA or Commonwealth Citizen Indicator ‘Yes’ if the employee is from a country in the EEA or Commonwealth
31A Indicator that this is an EPM6 (Modified) Scheme If this submission relates to an EPM6(Modified) Scheme for tax equalised expatriate employees indicate ‘Y’ for Yes
33 Indicator that an Occupational pension is being paid because they are a recently bereaved Spouse/civil partner If entry needed indicate ‘Y’ for Yes
34 Annual amount of occupational pension In the format £0.00 if 33 is completed
36 Indicator that a state pension is being paid because they are a recently bereaved Spouse/civil partner/Dependant Child Ignore for payroll purposes – only to be used for submissions being made by DWP.
37 Annual amount of State pension Ignore for payroll purposes – only to be used for submissions being made by DWP.
38 Payroll ID in this employment If there is a unique identifier (payroll number or works number) for the employee and it is required on HMRC output, enter it here exactly in the format it is to appear.  Important – if the employee is on the payroll twice, i.e. two separate contracts of employment, the payroll ID must be unique in each case.  HMRC guidance is that a payroll ID is not reused – if an employee is re-employed it should be under a separate ID number.
This field should only be completed if the employer requires separate tax codes to be applied to separate records.  If not, this should be left blank
39 Indicator that Payroll ID for this employment, if present on last submission, has changed this pay period Indicate ‘Yes’ if the payroll ID has changed between this and the last submission
40 Old Payroll ID for this employment Only completed if the Payroll ID has changed
40A Irregular Employment Payment Pattern Indicator A ‘Yes’ Indicator denoting that the employee is paid on an irregular basis, e.g. casual or seasonal employees / employees on maternity or sick leave /  employee paid, say, quarterly, bi-annually etc.  This indicator is important as HMRC will check if employees have not been paid for a specific period of time (12-14 weeks) and will flag them as leavers in their system.  This irregular employee marker will prevent a leave date being processed by HMRC on the NPS.
41 Date employment contract ended or state pension or taxable benefit ended Enter the date the employee stopped working
41A Taxable pay to date in this employment including payrolled benefits in kind Only figures from this employment
41B Total tax to date in this employment
41C Total student loans repayment recovered in year to date in this employment
42 Pay frequency Indicate whether the employee is weekly (W1), bi-weekly (W2), Lunar (W4), Monthly (M1) etc.  Also one-off (1O) where someone is employed to do a one-off piece of work which does not fall into the category of them being a regular weekly, monthly employee etc
43 Payment Date
44 Tax Week Number
45 Tax Month Number
48 Number of earnings period(s) covered by payment Usually 1, i.e. 1 week, 1 month.  If paid in advance, this could be 2 or 3, indicating 2 or 3 weeks’ pay.  For occupational pensioners enter ‘1’.
49

Aggregated earnings indicator

Indicate ‘Y’ for Yes if earnings from more than one role have been accumulated for the calculation of NICs
51 Indicator that the payment is a payment after date of notification of contract ending Enter ‘Yes’ when a payment is being made after leaving
54 Number of normal hours worked Indicate the most appropriate weekly hours worked by the employee in a normal working week:

  1. Up to 15.99 hrs
  2. 16-29.99 hrs
  3. 30 hrs or more, or
  4. Other

For people in receipt of an occupational pension, use d) Other.  For those on any type of leave, report the hours that are normally worked

55 Tax code operated on this payment Enter the tax code operated on the payment that is reflected by this submission.  Tax Basis is not recorded in this field
55A Scottish Variable Rate indicator Reserved for possible future use.
56 Tax Code Basis is non cumulative Indicate ‘Y’ for Yes if the code is operated non-cumulatively
58 Taxable pay in this pay period including payrolled benefits in kind This is the normal taxable pay figure for the period, inclusive of any payrolled benefits-in-kind (gross pay less any element which is allowable i.e. pension and payroll giving)
58A Value of payments not subject to tax or NICs in pay period Enter any non-taxable / non-NI’able payments made to the employee i.e. reimbursement of business expenses etc
58B Value of deductions from net pay in pay period E.g. season ticket loans, trade union subscriptions, AEO deductions not including pension deductions
59 Pay after statutory deductions Employee’s net pay after statutory deductions for tax, NICs and Student Loans but excluding;

  • Payments not subject to tax or NICs in pay period, and
  • Value of deductions from net pay this pay period

Simply, this is taxable pay after statutory deductions, but exclusive of AEO deductions

60 Value of benefits taxed via the payroll in pay period Enter the value of any payrolled benefits-in-kind on which PAYE has been operated (Note that declaration in this field does not replace the obligation to declare the value on the P11D)
60A Amount of the benefits subject to Class 1 NIC in pay period Enter the value of payrolled benefits in kind on which PAYE has been operated and which have been included in gross earnings when assessing Class 1 NICs – e.g. settling a pecuniary liability or payment of non-cash vouchers  (Note that declaration in this field does not replace the obligation to declare the value on the P11D)
60B Amount of the benefits not subject to Class 1 NIC in pay period Enter the value of payrolled benefits-in-kind on which PAYE has been operated but have not been included in gross earnings when assessing Class 1 NICs – e.g. subscriptions or fees not allowable under S343 and S344 ITEPA 3003, where Class 1 is due via the payroll and tax liability is collected via a P11D return (Note that declaration in this field does not replace the obligation to declare the value on the P11D)
61 Value of employee pension contributions paid under “net pay arrangements” in pay period Enter the value of pension contributions the employee paid under ‘net pay arrangements’ in this pay period, i.e. where contributions are deducted from gross taxable pay, not pension contributions under relief at source arrangements like GPPs
62 Items subject to Class 1 NIC but not taxed under PAYE regulations excluding pension contributions in pay period Enter the value of items included in gross earnings when assessing Class 1 NICs but not taxed under PAYE – i.e. items subject to NICs but not subject to tax in the payroll, e.g payroll giving, SIP deductions settling a pecuniary liability, where NICs are deducted through payroll but tax is collected via P11D.  Note that this field reports all items subject to NICs but not tax, not just items that will appear on the P11D
65 Value of employee pension not under a net pay arrangement Enter the value of pension contributions the employee paid that are not under ‘net pay arrangements’ in this pay period, i.e. under relief at source (RAS)
67 Value of Student Loan repayment in this pay period
68 Value of tax deducted or refunded in this period
69 Value of SSP YTD Total SSP paid in the tax year to date in this employment
70 Value of SMP YTD Total SMP paid in the tax year to date in this employment
71 Value of OSPP YTD Total OSPP paid in the tax year to date in this employment
72 Value of SAP YTD Total SAP paid in the tax year to date in this employment
73 Value of ASPP YTD Total ASPP paid in the tax year to date this employment
74 Partner’s Surname As entered on the ASPP claim forms SC7 – 10
75 Partner’s Forename or given name As entered on the ASPP claim forms SC7 – 10
76 Partner’s initials As entered on the ASPP claim forms SC7 – 10
77 Partner’s second forename As entered on the ASPP claim forms SC7 – 10
78 Partner’s NINO As entered on the ASPP claim forms SC7 – 10
79 National Insurance category letter in pay period
79B Total Pay subject to NICs in this pay period Including pay below the LEL and above the UEL – simply, NI’able pay this period
82 Value of earnings at the LEL YTD Not to include earnings that did not reach the LEL in any earnings period
82A Value of earnings above the LEL up to and including the PT YTD Including pence, if applicable
83 Value of earnings above the PT up to an including the UAP YTD Including pence, if applicable
84 Value of earnings above the UAP up to and including the UEL YTD Including pence, if applicable
84A Director’s NIC –calculation method Enter ‘AN’ to signify NICs for the director are calculated using the annual earnings threshold, ‘AL’ if the alternative method is used
84B Tax Week No. of  appointment of director If appointed after Week 1, enter the tax Week of appointment
86A Total of employer NICs this period
86Aa Total of employer NICs YTD
86B Employee NICs this period
86Bb Employee NICs YTD year to date
87Bb No payment due Check this field to indicate that no payment or return is due – ‘NIL return’.  Otherwise, leave blank
90 Value of advance received from HMRC YTD Enter the total amount of funding received from HMRC to make a tax refund and/or provide Statutory Payments
91 Value of SSP recovered YTD Enter any recovery under the Percentage Threshold Scheme
92 Value of SMP recovered YTD Enter value of SMP recovered
93 Value of OSPP recovered YTD Enter value of OSPP recovered
94 Value of SAP recovered YTD Enter value of SAP recovered
95 Value of ASPP recovered YTD Enter value, if appropriate
97 Value of NIC compensation on SMP YTD Enter value, if appropriate
98 Value of NIC compensation on OSPP YTD Enter value, if appropriate
99 Value of NIC compensation on SAP YTD Enter value, if appropriate
100 Value of NIC compensation on ASPP YTD Enter value, if appropriate
102 Value of CIS deductions suffered YTD For limited companies where CIS deductions have been made from payments received for work in the construction industry
103 Value of NICs holiday YTD For employers registered for the Regional Employer NICs Holiday for New Businesses Scheme only
108 Indicator this is the final submission because scheme ceased Enter ‘Yes’ if you have ceased as an employer and are paying your employees for the last time
109 Indicator that this is the final submission for year Enter ‘Yes’ if this is your last FPS on or before the 5 April, to indicate that this is the final submission for the tax year.
110 Employer contracted-out number (ECON) If you operate an occupational contracted-out scheme, enter the employer contracting-out number (ECON) here.
111 Did you make any free of tax payments to an employee Enter ‘Yes’ if you made any ‘free of tax’ payments to an employee.  A ‘free of tax’ payment is a payment where the employer (rather than the employee) bears any tax due.  Otherwise enter ‘No’.
112 Did anyone else pay expenses or in any way provide vouchers or benefits to any of your employees while they were employed by you during the year? Enter ‘Yes’ if someone other than you, paid expenses or provided benefits to any of your employees during the year as a result of the employee working for you.  Otherwise enter ‘No’.
113 Did anyone employed by a person or company outside the UK work for you in the UK for 30 days or more in a row? Enter ‘Yes’ if anyone employed by a person or company outside the UK worked for you in the UK for 30 days or more in a row and you did not include them on a RTI submission.  Otherwise enter ‘No’.
114 Have you paid any of an employee’s pay to someone other than the employee, for example to a school? Enter ‘Yes’ if you paid any of an employee’s pay to someone other than the employee, for example to a school, and you did not include this pay on a RTI submission.  Otherwise enter ‘No’.
115 Completed forms P11D and P11D(b) are due Enter ‘Yes’ if completed forms P11D and P11D(b) are due for the year. Otherwise enter ‘No’.
117 Are you a Service Company? Enter ‘Yes’ if you are a Service Company and have operated the Intermediaries legislation (sometimes known as IR35) or the Managed Service Companies legislation.  Otherwise enter ‘No’.
118 BACS hash code Employers will be required to include the hash cross references in RTI submissions where employees are paid by direct Bacs.
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