InTime provides the facility to produce a report formatted for the HMRC Employment Intermediary Report. In order to use this report you should ensure you:
- Categorise your contractors correctly. You should contact HMRC if you are uncertain on a workers status. If you require specialised advice please contact the Business Development team who can put you in touch with Baker Tilly's Employment Consulting Group.
- Capture the mandatory contractor information
- Mark contractor invoices as paid in a timely manner. If you are using the Payments Module the payment date will automatically be set when generate the payment file. If you are not using the InTime payment module then you will need to manually mark invoices as paid from the relevant invoice search screen.
- Regularly check the validation report to ensure that you have captured the mandatory information.
Contractor Details Changes
The report requires that some additional information is captured for contractors who are not paid directly through PAYE. The additional information is:
- The Engagement Type which is one of
- A - Self Employed Contractor
- B - Partnership
- C - Limited Liability Partnership
- D - Limited Company
- E - Non-UK Engagement
- F - Another party operations PAYE on this contractor's payments
- Either or both of the following
- Date of Birth and Gender
- National Insurance Number
- Unique Taxpayer Reference (UTR)
This information is captured for each of your contractors as shown on the screen-shots below
InTime will not enforce entry of these items even though they are mandatory in the report. This limits the amount of information that must be captured up-front.
Validating and Running the Report
To produce the report to be uploaded to the Government Gateway, navigate to the Employment Intermediary Report section. An example of this page is shown in the image below
It can be seen that the report is run on a quarterly basis. The drop-down allows you to select the current quarter and four previous quarters. In the example about the user has clicked the Run Validation button. InTime has responded with three validation messages. The first two validation messages are shown as errors since mandatory information is missing. This would cause a validation error when the file is uploaded to HMRC although you should still be able to submit the file.
The third error is a warning message. This is showing that there is an invoice which was due for payment in the period but it has not been paid.
Submitting the Report to the Government Gateway
Once you have generated your report from InTime you will need to upload that file to the Government Gateway.