Salary advances
Normally, under Real-Time Information (RTI), PAYE reporting must be done on or before the time when a payment is made to the worker. From 6 April 2024, there is a change in the rules for reporting of salary advances, which can now be reported on or before the employee’s contractual pay day. This avoids having to report the advance and the regular salary payment separately. Effectively, the reporting of the advance will be delayed until the remainder of the salary instalment is paid.
Note that the change only applies to advances of pay already earned by the time the advance payment is made.
Please talk to us if you have any concerns about your PAYE reporting, as the penalties for getting things wrong can be onerous.