The HMRC Software Developers Support Team (SDST) have issued an update on the RTI changes for April 2025.
The following is a brief summary based on the information issued:
Statutory Neonatal Care Pay (SNCP)
As indicated on 3rd June 2024, to support SNCP there will be one new data item in the Full Payment Submission (FPS), and two on the Employer Payment Summary (EPS).
Special Tax Site NICs Relief – Workplace Postcode
On 18th April 2024, SDST referred to a new Freeport and Investment Zone workplace postcode data item.
From April 2025, HMRC intends to reject an FPS if a Freeport or Investment Zone NIC category letter is reported for an employment but does not contain the workplace postcode for any qualifying employees.
The workplace postcode for any qualifying employee must be located within a designated special tax site.
Reduced rate National Insurance for married women (MWRRE)
For contractual payment dates from 6th April 2025, HMRC are introducing a validation rule and will reject an employers FPS submission where a reduced rate NICs category letter (NI letters B, E, I and T) is supplied, but the individual does not qualify based on the date of birth being reported.
Lifetime Allowance (LTA) – for software that supports payment of pensions
In addition to the three existing indicators for the pension drawdown type, two more will be introduced:
- Pension Commencement Excess Lump Sum (PCELS)
- Stand Alone Lump Sum (SALS)
A validation will also be introduced to only allow one pension drawdown type indicator to be reported per ‘employment’ section in the FPS.
Employees’ hours data – requirement delayed
Due General Election interruptions and delays and the lead-in time required to upgrade software and processes to prepare for implementation, employers will no longer be required to start providing employees’ hours data through PAYE Real Time Information returns from April 2025.
This requirement will not apply until April 2026 at the earliest.
Final decisions on whether to go ahead with the regulations and any timelines will remain subject to decisions by the new government.
When will more information be provided on the April 2025 changes?
Further guidance on the above measures will be provided by HMRC SDST when available.
They plan to publish the 2025-26 RTI technical pack and to implement the new artefacts in the test services:
- RTI technical pack in the week ending 27th September 2024
- LTS on 18th October 2024
- TPVS/ETS on 15th November 2024
PAYadvice.UK 20/8/2024