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PY-GB - What needs to be reported on the P35?

harishtk1
Active Contributor
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Hi,

On reconciling the end of year report(P35) from SAP with that from the legacy system, it is observed that a few hundred employees are not picked up by SAP but appear in the legacy system report. Investigation reveals that every single one of them have a small Taxable Pay during the year, but no Taxes, NI or any other reportable deductions have been made from them during the year. It appears that SAP does not include any one with Nil reportable deductions in the P35, however, I have been told that it is a legal requirement to report them.

Can anyone with knowledge on the legal aspects of this, please advise on this?

Thanks and Regards

Harish

Accepted Solutions (1)

Accepted Solutions (1)

stuart_campbell
Active Contributor
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Hi Harish

Please see the following guidance from the HMRC on P35

http://www.hmrc.gov.uk/payerti/end-of-year/from-bau-to-rti.htm

There are also contact numbers if you have questions about certain employees and filing requirements

From the SAP side when comparing with a legacy system with SAP system - its important to ensure that the legacy data has been correctly migrated to the SAP system in such a way that the P35 report will pick them up - I would check this is the case in PA30 and PA tables and payroll results for these employees

Best wishes

Stuart

harishtk1
Active Contributor
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Thanks Stuart, I had already done all that before posting this.

The question was very specific - Employees have Taxable Pay during the year, but do not have any deductions - Do they still need to appear on the P35? Clients says Yes, their legacy system reports them, however RPCEOYG0PBS does not. And I was wondering whether there is any limitation with the SAP Standard that ignores such employees.

In the meantime, I have found that all such employees are listed on the P38A instead, so maybe that is the answer - I have never seen the need for a P38A before, so this is something new to me.

stuart_campbell
Active Contributor
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Hi Harish

As far as I am aware the SAP GB payroll product should fufil all legal requirements for payroll and statutory reporting - thats the aim anyway - I am not aware of any limitations in this specific case

The P38A is discussed in the "Who needs to file an Employer Annual Return?" section of the above provided link - please double check that these employees meet this criteria to ensure this

reconciles with the SAP system

Best wishes

Stuart

jayantvenkata
Product and Topic Expert
Product and Topic Expert
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Hello Harish

This was always the standard manner in which the EOYR report works.

Please refer to the documentation of the report RPCEOYG0 thru se38, which mentioned the following about the P38A form generation.

According to legislation, you must not produce a P14 form (and respectively, also a Magnetic Media entry) for any employee who does not have a reportable employment situation, that is: Tax, NI, Tax Credit, Student Loan, SSP, SMP, SAP, SPP, Widow's/Orphan's Life Insurance values are equal to zero.

You must report employees in this situation to the Inland Revenue via the P38A form

Thanks and Kind Regards

Ramana

harishtk1
Active Contributor
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Thanks Ramana,

We did eventually tie up all the documentation and come to the same conclusion.

The question is now settled.

Answers (0)