InPay Year End Guide 2021/22

HMRC Filing

As was the case last year, there is no difference to normal filing of the FPS and EPS except that the Final Submission of Year box should be ticked on whichever return is sent last (this will normally be the month 12 EPS, but may be an FPS if the EPS has been filed early).

Upon ticking the Final Submission of Year, the user is given the opportunity to enter Ceased Date. This SHOULD NOT BE entered unless the Company has ceased trading.

Pay Periods

In order to commit the last period of the year, InPay requires the first period of the following year to be set up in the system. This is done through the Payroll -> Pay Periods screen. It is recommended the Generate button is clicked as this will provide a wizard to create the entire year’s periods, rather than manually setting up each period one at a time.

Committing Payroll

Upon commit, InPay will make the additional amendments to records.

Create a new cumulative tax code record from 6 April 2022 for any employee on a wk1\mth1 code

Remove the Employment Allowance flag (and related information), if ticked, from the Company → Details screen

Tax Codes

Once committed the following tasks are required.

Apply any outstanding P6s received for 2021/22 via the HMRC (DPS) Data Retrieve screen
Normally there is the step to run the tax code uplift. There is no requirement for 2022/23 as the standard tax codes remain at 2021/22 levels
Apply any P9s via the HMRC (DPS) Data Retrieve screen. (this will apply on 6^th April 22)

P60s

Once all of a company’s payrolls for 2021/22 have been committed into the 2022/23 tax year, P60s can be run from the Reports page under the Statutory Menu. The report P60 Pre Printed 2021-22 has been added and this can be printed out on plain paper. The P60 is also directly available for the employee to download through their Payslip Portal account.

New Rates

All of the legislative information for the 2022/23 Tax Year can be found through the Company > Legislative Details screen. As discussed above, there is no uplift to tax codes from 21/22. However there are changes to the lower bandings. As per the release notes for 7.5 Release 7.5 - InPay - InTime (in-time.co.uk) there are significant changes to National Insurance both in a rise of 1.25% on the standard rates and new rulings and NI Letters for Freeport workers and Veterans.

Holiday Schemes

For clients using the InPay Holiday scheme functionality and wishing to align their scheme with the payroll year, please be aware that the Holiday Year uses the Pay Period Start and End Dates and not Pay Dates. Please also note that the scheme rolls over when the WHOLE period is in the new Holiday Year. For example, if the Pay Period Start Date is 29 March and the End Date is 4 April, the new scheme will come into force for the period starting the 5th April if the Holiday Year Start Date is 1 April.

If you intend to carry forward holiday, the 1.Employee → Holiday Plain report should be run for the last period of the old year you retrieve the balances and then the carried forward balances updated by running the Employee → Holiday Scheme Import.