Finalising client payroll

With the tax year end for 2018-19 just around the corner let’s look at how to finalise the current tax year for a client payroll. For businesses running weekly or multi-week payrolls it is important to check whether this is a week 53 54 or 56 year.

When a client is certain that this is going to be the final payroll run agents and advisers need to indicate this to HMRC on their submission. This could be the last payment for the tax year or an adjustment run.

Letting HMRC know that the last submission has been or is being made can be done by:

• setting the final indicator on the payroll software for the FPS; or
• indicating this is the final submission on the employer payment summary (EPS).

This is important because it tells HMRC it can close the tax year for this PAYE reference. If the indicator is not set ...