The ins and outs of PAYE Modernisation

The objective of PAYE modernisation is to deliver Real Time Information (RTI) so that Revenue, employers and employees have up-to-date information relating to tax deductions and pay. This will improve the transparency and understanding of the PAYE system for all stakeholders. For example, this will ensure that the right tax deduction is made at the right time from the right employees and that employers pay over the correct tax deduction and contribution for every employee.

SMART PAYE sets out the key design principles of the project. The project will meet its objectives while also ensuring the benefits to all stakeholders by working to these principles.

What are the benefits?

For Revenue:

• Statutory in-year returns
• Making compliance easier
• Accurate up-to-date income details
• Reduced customer contacts
• Timely targeted interventions
  
  

For an Employer:

• Seamless integration into payroll
• Minimise employer cost to comply
• Abolition of P30s, P45s, P60s and end of year returns
• Right tax paid on current due dates
• Time savings
  
  

For an Employee:

• Simplified online services
• Maximise use of entitlements
• Automatic end of year review
• Real time accurate data
• Transparency
  
  

Related Articles:

• PAYE Modernisation – What do these changes mean for you?
• Are you ready for PAYE Modernisation?
• What do I need to know about PAYE Modernisation? 

Thesaurus Payroll Manager | BrightPay Payroll Software

Posted byHolly McHughinPAYE Modernisation