What is Online Filing?
If you already know about online filing
and just want to know how to setup your software to file online,
click here to visit the Getting Started
guide.
Online filing was introduced by the
Government in 2002, as a means of sending Employers' Annual Returns
electronically.
When you file online, your P14s and P35 are
transmitted directly from your payroll software to HMRC, usually
via the Internet. In doing so, the need to send paper returns
is completely eliminated. HMRC have decided that all
employers will have to submit their Year End returns electronically
by 2010.
This compulsory deadline is earlier for
larger and medium-sized employers who have been required to submit
their returns electronically since the 2005/06 Tax Year. Financial
incentives (£150 for the 2006/07 tax year) are available to small
employers with fewer than 50 employees who file their returns
electronically by the required deadline. More
information on how to claim this incentive
The benefits of online filing
In the last few years, thousands of
employers have moved to online filing, not only because of the
financial incentives offered but because they have seen other
advantages to their business, including:
- Reduced administration
- A faster, more efficient filing process
- Increased security
- Instant validation
- Reduced probability of human error
- Early readiness for when online filing is compulsory
What happens when I file by internet?
Filing online basically means you submit
forms P14 and P35 electronically to HMRC. When you submit
online, your data is validated and checked, firstly by the program
and secondly by the Government Gateway, to ensure it meets HMRC
'quality standard'. IRIS Payroll Professional submissions
will meet this quality standard, providing the figures being
submitted are correct.
IRIS Payroll Professional will use both the
figures held within the software and the figures you input on the
various Internet filing screens to send your returns. It is
important that you verify the figures are correct before you make
the submission.
More information on reconciling your data
There is no need to file a paper version of
the P35 or to print the P14 forms to send to HMRC, although you
will still need to issue P60’s to your current employees by the
required date.
