Payroll e-filing

By Tolley in association with Vince Ashall

The following Employment Tax guidance note by Tolley in association with Vince Ashall provides comprehensive and up to date tax information covering:

  • Payroll e-filing
  • E-filing


Payroll e-filing is now compulsory for virtually all employers. This is the case for both in-year and year-end filing. Most of the in-year and year-end filing requirements have now been overtaken by the introduction of RTI. Please see the Monthly compliance, Annual compliance and Real time information guidance notes.

Year-end online filing was initiated by HMRC for year-end 2004/05. Initially this was for large employers who HMRC defined as those with 250 or more employees. At the same time these employers were mandated to make their monthly PAYE and NIC payments electronically.

Medium sized employers, those with 50 to 249 employees, had to start year-end electronic filing with their 2005/06 returns.

Small employers, those with fewer than 50 employees, were offered a financial incentive to file their year-end returns online. Regulations were introduced from August 2009 resulting in all small employers having to file their year-end returns electronically for 2009/10 and following years.

Payroll e-filing underwent a radical overhaul in April 2013 when Real Time Information was rolled-out to all employers following the completion of the pilot project. See the Real time information guidance note.

Employers exempted from electronic filing are those who are:

  • a practising member of a religious society or order whose beliefs are incompatible with the use of electronic communications

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