PAYE: Reporting payroll when a normal payday falls on a non-banking day

HMRC has provided the Chartered Institute of Taxation with an article which is to be published in the April 2019 Employer Bulletin on 10 April 2019.

The article reminds anyone reporting payments of wages under the PAYE Real Time Information (RTI) system that where the normal payday falls on a non-banking day (for example, Good Friday) and as a result of this, wages are paid either on the preceding or next ‘banking day’, the RTI submission should report the normal payday as the payment date.

If you use an incorrect payment date, it could impact on your employees’ Universal Credit as it could cause a ‘two payments in one monthly assessment period’ issue described in our news article.