Tax Year End Process SPD Case Free Essay Example, 2250 words

The clear-down process is where all of the payroll figures for the year are accumulated, and then tabulated to provide the data for the end of year payroll report. At this stage of the proceedings, payroll personnel needs to ensure that the final payment for the year has been processed and deemed accurate and that the year-to-date figures tally with the sum of the monthly figures previously recorded. There are a number of different items that need to be cleared off for the financial year including; Gross pay to date Gross PAYE to date Gross SSP to date Gross Deductions to date Gross Allowances to dateThe Inland Revenue Department also requires that each company complete an End of Year Summary form (P14) for each employee (current and historic) that has been paid by the company during the relevant financial year. Student Declaration forms (P38[S]) for students who may have been employed during holiday periods and Employee Supplementary Returns (P38A) also need to be completed for any employee that was paid during the financial year but for whom a P14 was not completed. Other returns that must also be completed during the end of year reporting process include an Employees Annual Return (P35), an Employee s Certificate of Pay, Income Tax and NICs (P60) an Expenses Payments and Income from which tax cannot be deducted for the financial year (P9) and/or an Expenses and Benefits Form (P11D). Finally if applicable a form (P11D[b]) Return of Class 1A National Insurance Contributions, Return of Expenses and Benefits: Employer s declaration must also be completed if the company is liable to return any expense payments or benefits. Because the closedown period is a complex and busy time of the year, it is advisable that a trial run of the close off is completed two weeks before the end of the year date. Although the year to date figures will not be complete (because of two pay periods still to process) this trial run will allow accounting staff to run a check on f igures generated by the payroll software program to ensure that the program is working accurately and that all of the information required for end of year processing is available through generated payroll reports. We will write a custom essay sample on Tax Year End Process: SPD Case or any topic specifically for you Only $17.96 $11.86/pageorder now