Oracle Human Resources Management Systems Payroll Processing Management Guide (UK) Release 12.1 Part Number E13534-10

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Payroll Statutory Deductions and Reporting

Statutory Deductions and Reporting Overview

Oracle Payroll enables you to calculate employer's tax liability and deduct the appropriate sums from employee earnings. You can calculate employer and employee tax liabilities for all the taxes and statutory deductions that are applicable to your country. For example, this includes employer liability for state taxes such as State Unemployment Insurance and employee liability for federal, state and local taxes in the US, PAYE and NIC in the UK, PAYE and PRSI in Ireland, Social Security, Unemployment and Complementary Pension in France, Standard and Special tax and Social Insurance in the Netherlands, and so on. In each instance, Oracle Payroll enables you to enter details of the tax liability and process it at regular intervals.

Statutory Deductions and Reporting

Oracle Payroll allows you to process tax and insurance deductions for employers and employees, and helps you comply with the legislative requirements applying to your organization.

Is Oracle Payroll flexible enough to calculate taxes according to different legislative needs?

Yes. Oracle Payroll supports many country specific models of taxation, including the local, federal and state tax requirements of organizations operating in the US.

Is the entry of tax and social insurance details sufficiently flexible to meet the needs of my organization?

Yes. You can calculate taxes for different types of employer to represent the diversity of your organization. You can also make retrospective adjustments to allow for overpayments and underpayments.

Is Oracle Payroll capable of implementing the latest updates to taxation and social insurance?

Yes. The details of taxation policy and social security entitlements are constantly changing, but Oracle Payroll is always promptly updated so that your processing includes the most recent updates.

Using Oracle Payroll, is it possible to transmit PAYE information electronically to HM Revenue and Customs?

Yes. EDI allows two-way electronic transmission of documents between HM Revenue and Customs (HMRC) and employers. Oracle UK Payroll has developed a specified formatted file that, if used in conjunction with third party software, can be transmitted electronically to the HMRC.

Can you record P11D details for your employees and submit an annual return to HM Revenue and Customs? (Oracle HR)

You can use Oracle HR to update your records throughout the year to show all the Class 1A National Insurance contributions for which your organization is liable. You can make this information available to employees so that they can their NI liabilities. You can then generate a report to view the final details and you can submit the complete and validated records to HMRC to comply with all reporting requirements.

Understanding and Using PAYE

PAYE: Legislative Details

PAYE is the system used to collect income tax from all taxable income paid to employees under Schedule E.

The amount of PAYE calculated depends on earnings subject to tax, including taxable benefits. Taxable pay can be reduced by employee payments made to authorized company pension schemes, or by employee donations to charities, to an agreed maximum. For more information on the definitions of earnings subject to tax, see The Employer's Further Guide to PAYE and NICs. CWG2.

What Tax Codes Are Available for PAYE?

The Tax Office with which your enterprise is registered administers the tax records of your employees. This office issues a tax code for each employee which determines how the tax is to be collected, and whether the basis for calculation is to be cumulative or non-cumulative. Valid tax codes are as follows:

Suffix codes - numbers followed by a letter

The number, when multiplied by ten and nine added, represents the total tax free pay available in the year calculated by the system. The letter denotes what type of allowance is applicable:

Current valid codes for 05/06 are L, P, T, V or Y. These may change for each Tax Year.

Prefix codes - K followed by a number

The number, when multiplied by ten and nine added, represents the additional taxable pay for the year.

Special codes

Codes and meanings:

• D0: taxed at higher than basic rate

• NT: no tax deducted

• BR: tax deducted at the basic rate with no tax free allowance

• NI: exempt from PAYE but not NIC, for students working during the vacation when NT should not be issued without prior permission of the Tax Office.

• S: indicates liability to the Scottish Variable Rate which the Scottish Parliament may choose to implement. The S code will precede the code number or code prefix. The layout of the tax code information file supplied by HMRC has been changed to accommodate the S indicator.

What is the Tax Calendar for PAYE?

The tax year starts on 6 April one year and ends on 5 April the following year. Each tax year may be referred to as a combination of the two partial calendar years, for example, 05/06. The calendar can be based either on a weekly frequency or on a calendar month frequency.

The first tax week, known as Week 1, runs from April 6 -12. Week 2 runs from April 13 -19, and so on through the year.

As the year is not perfectly divisible by 7, an extra week is necessary. For non-leap years Week 53 is April 5, and for leap years Week 53 is April 4 -5.

Monthly calendars also start from 6 April. Month 1 is from April 6 - May 5, and so on through the year.

Key dates

These dates are subject to change for specific Tax Years

6 April - start of year

19 May - last date for sending year end returns

31 May - last date for delivery of employees' P60 forms

6 July - last date for sending P9Ds and P11Ds

19 July - last date for payment of Class 1A NICs on cars and fuel

5 April - end of tax year

Payment date

The tax period to use for calculating PAYE is the period in which the payment date falls. For example, the weekly payment date April 14 is in Week 2, and the monthly payment date April 5 is in Month 12.

Which Tax Tables Does Oracle Payroll Use?

Tax tables are provided in either printed or computer version, and sometimes there is a small difference on the amount of tax calculated. Both are correct.

Oracle Payroll calculates PAYE using the formula issued by HMRC to computer users. This formula is incorporated in the startup data for the product.

What is the Identification Format for a PAYE Scheme?

Your local HMRC office has a three digit HMRC office number, and each PAYE scheme administered by your enterprise has an individual Employer's PAYE reference number. This is normally a letter followed by up to nine alphanumeric characters.

PAYE in Oracle Payroll

Oracle Payroll provides as startup data all the elements, balances and other components you need to correctly administer PAYE. It also provides legislative upgrades to keep your payroll processing up to date with current legislation.

If you include employees in more than one payroll run each processing period, Oracle Payroll's calculations for tax deductions take into account the sums already deducted in that period.

The system provides balances for Taxable Pay and PAYE, both of which include dimensions that correctly sum up all the necessary run results. The PAYE balance is fed only by the amount of PAYE paid. The run results passed to the Taxable Pay balance, however, are identified by balance feeds that you define.

If you have payrolls that are reported under different tax reference numbers, you may sometimes have the requirement to transfer employees between these payrolls. If you want to change an assignment's tax district reference number, you must terminate the assignment and start it with the new tax district reference number. In such cases, the tax balance will restart from zero, and you should issue a P45 for the assignment.

Note: If you transfer employees between payrolls having the same tax reference number, the balances continue to accumulate as before.

You must ensure that the PAYE reference for a payroll remains the same throughout a tax year to avoid generating incorrect statutory reports. You can change the PAYE reference for a payroll at the start of a new tax year, 6th April. However, if you have already executed one or more payroll runs in a tax year, changing the PAYE reference for the payroll with a retrospective effective date can result in incorrect statutory reports.

Implementing Startup Data

The following table shows the tax deduction elements defined by Oracle Payroll for PAYE administration and supplied as part of startup data.

You must link these elements to the appropriate payrolls before they can be given to employees and included in payroll runs. If you have set up segments of the Cost Allocation key flexfield to receive entries at the element level, you should enter these account codes in the Element Link window when you link the PAYE elements to your payrolls.

The recurring element PAYE can process after termination to allow for payments to employees who have left, but who may still be entitled to receive late payments.

You can include the PAYE elements, along with NI elements, in an element set, then select this set in the HR:Non-Updateable Element Set user profile option. This prevents users changing the entry values of these elements in the Element Entries window. They should use the Statutory Details window instead.

Entering Statutory Details for a New Starter

Use the Statutory Details window to enter P45 or P46 details for a new starter. You can also specify that this information should be sent to HMRC by EDI.

To enter P45(3) details for a new employee

1. If you want to send these details by EDI, select the Send EDI check box.

2. Enter the Previous Employer's PAYE Reference for this employee. This is a mandatory field.

3. Enter the date on which this employee left the previous employer. This is a mandatory field.

4. Enter the Previous Tax Code and Previous Tax Basis. The Previous Tax Code is a mandatory field.

5. Enter the Last Payment Period Type and Last Payment Period.

6. Enter the Previous Tax Paid Notified details.

7. Select the Continue Student Loan Deductions check box if required.

8. Select the Not Paid Between Start and 5- Apr check box if an employee will not be paid in the current tax year. The P45PT3 EDI file will contain a record (ATT2 58) to inform HMRC not to expect a P14 (EOY) return for the employee this year.

To enter P46 Information

1. Select the Send Employer Default Statement C EDI check box to send the default form to the HMRC in the absence of an employee's completed P46 or P45(3). Once you select this and the default form is ready to be sent to the HMRC, you cannot send the employee's completed P46 for the same assignment in the same EDI file.

2. Select the Default EDI Sent check box if required. If you select and save the Default P46 statement, then the application displays a warning message stating that the tax code must be BR for the default.

   Note: By default, the P46 statement is always 'C' (Other job or pension) for the assignment for which you choose to send a Default P46.

3. Enter the P46 Statement type. Select from:

   Note: Once you select the completed P46 to send, the P46 Statement becomes mandatory. You can then send a completed P46 or P45(3) for that assignment. However, once a completed P46 is send to the HMRC, you cannot send the Default P46.

   • A -- First regular job since leaving full-time education.

     • B -- Only or main job.

     • C -- Receives a pension as well as the income from this job.

4. If you want to send this information to HMRC by EDI, check the Send EDI check box.

To enter P46 Pension Information

1. Enter the Date Pension Started.

2. Enter the Annual Pension amount. Ensure this value is not less than zero.

   Note: When you select the Send EDI check box, the Date Pension Started and Annual Pension are mandatory.

3. Enter the Prev Employers PAYE Ref and Date Left Prev Employer details.

4. Enter the Prev Tax Code and the Prev Tax Basis details.

5. Enter the Last Payment Period Type and Last Payment Period information.

6. Select the Recently Bereaved check box, if applicable.

7. If you want to send this information to HMRC by EDI, check the Send EDI check box.

Entering Employee PAYE Details

The Statutory Details window lets you enter and view an employee's PAYE and NI information on one screen. You can inspect the check box information displayed at the top of the window to show whether the employee has:

• NI multiple assignments

• PAYE aggregated assignments

If you want to change the entries in the multiple assignment and aggregated assignment check boxes, make your changes on the Employment tab of the Person window. You cannot change them in the Statutory Details window.

Note: You can only make changes if you have not run your payroll in the current tax year.

However, you can manually check the Excluded from WNU check box to specify that this employee should not be included in future Works Number Updates. This typically occurs in response to a HMRC notification that they do not need further updates for this employee.

Link the PAYE Details element to your payrolls. You can enter defaults at the link level for the input values so that no assignment is processed without a valid code being present. It is important to ensure that you enter a valid code because validation is not available at this point.

To enter tax details for an employee

1. Query the employee assignment and choose the Tax Information button.

2. Choose the PAYE Details tab. The P45 information indicates:

   • That a P45 has been issued, and the date on which it was issued

   • Whether the P45 was manually issued

   • The override date, if one exists, for the P45. You can set an override date to indicate that you want to produce a P45 for a terminated assignment at an earlier date than the date previously scheduled by Oracle Payroll.

   • Whether the P45 has been sent by EDI

   • If the P45 has been printed and submitted to a different tax office.

3. Change your effective date if required.

   Note: The Statutory Details window is now datetracked.

4. Enter the employee's tax code.

   When you enter the tax code a validation formula is run to ensure that it is in the correct format.

   Note: At the start of a new tax year there may be a statutory requirement to either uplift or reduce particular suffix codes because of budgetary changes. New codes that are introduced will not validate until you are datetracked to the effective period. For example, you cannot enter a P code prior to 6 April 1999.

5. Enter Cumulative or Non Cumulative as the employee's tax basis.

   At the start of a new tax year all tax codes except D0 that have a tax basis of N should be changed to C.

6. Record new employees' previous taxable pay and tax paid on P11 with previous employers in the current tax year.

   Note: If you subsequently receive a P6 with different figures, enter the new figures. These are included in the PAYE calculation for cumulative based employees and reported separately on the End of Year Reports. They are not included in Taxable Pay or the PAYE balances.

7. If any tax is refundable, select the refundable category from the list. There are four choices:

   Yes: Make the refund.

   Trade Dispute: The refund is withheld as the employee is currently involved in a trade dispute.

8. Enter the Authority - for example, P6, P45 etc and the Message Date and Issue Date. Note that these fields also automatically update to display the latest authority for the PAYE Details.

Setting Up Aggregated PAYE

You can calculate and report on PAYE for those employees who have multiple assignments. You can specify that multiple assignments for an employee should be aggregated as a single PAYE assessment.

If you do not want your assignments to be processed as aggregated for PAYE you can continue to process separate assignments as currently. You do not need to make any changes to the way in which you work.

To set up aggregated PAYE

1. You use the Employment tab on the Person window to indicate that assignments for this person are to be processed as aggregated

   See Entering Employment Information for Employees and Applicants, Oracle HRMS Workforce Sourcing, Deployment and Talent Management Guide

   Once you indicate on the Person window that assignments are to be processed as aggregated, then this applies to all assignments for this person within this tax district. You cannot exclude any one of these multiple assignments from the aggregated processing.

2. Define the employee's PAYE information.

   See Entering Employee PAYE Details

   You can produce a P45 as soon as an assignment has ended rather than waiting until a later default date. You do this by setting an override date to specify the date at which you want to produce the P45.

   Note: Do not use the Element Entry Values window to update the PAYE information. If you make your changes in the Element Entry Values window, they are not automatically updated in the aggregated assignments.

3. Run the Start of Year process to upload tax code changes for the aggregated assignments.

   See Running the Start of Year Process

Maintaining Student Loans

You can enter details of Student Loans that are to be repaid, provided that you are not attempting to do this in conjunction with Council Tax Orders or Scottish Arrestment Orders. You maintain student loans from the Student Loans window.

To maintain student loans

1. Enter the Start Date in the format DD-MON-YYYY

2. Enter the End Date in the format DD-MON-YYYY

3. Enter the Subpriority

   These are the only changes that you can make to the Student Loan information. The amounts for Paid This Period and Paid This Year are derived from the payroll run and you cannot change them.

4. You can modify the Subpriority for the Court Order. This is the only change that you can make to the Court Order information.

Running the Tax Payments Listing

This report shows details of employees':

• PAYE and National Insurance deductions

• Working Tax Credits

• Statutory Paternity Pay and Statutory Adoption Pay

From 6th April 2003 NI rebates do not appear as a separate category on the Tax Payments Listing. This is because rebates are now included as part of a single net contribution value.

You run the report in the Submit Requests window.

To run the Tax Payments Listing

1. In the Name field, select the report name.

2. In the Parameters window, select a payroll and payroll period for which you want to see the information.

3. If you want to see information just for a consolidation set, select the name of the set.

4. You can see the information listed either by employee name or assignment number. Select one of these as your sorting classification.

5. Choose the Submit button.

Running the Tax Payments Listing - Batch

You run the report in the Submit Requests window.

To run the Tax Payments Listing - Batch

1. In the Name field, select the report name.

2. In the Parameters window, select the payroll group and payroll period for which you want to see the information.

3. You can see the information listed either by employee name or assignment number. Select one of these as your sorting classification.

4. Select Yes to view a summary.

5. Click Submit.

Understanding and Handling NIC

National Insurance Contributions: Legislative Details

Primary Class 1 National Insurance Contributions (NIC) are payable by every employee, on earnings subject to NIC, unless exempted because of age or employment contract. Secondary Class 1 National Insurance contributions are payable by the employer. National Insurance is collected by HMRC through the PAYE system.

If your enterprise runs a defined benefits occupational pension scheme, employees in the scheme may contract out of the State scheme. In this case both the employee and employer pay reduced National Insurance contributions.

Calculation of the Amounts Payable

The amount of NIC payable by employees can depend on the following factors:

• NI category

• Earnings subject to NIC

• Age

• Pension arrangements

• Earnings period

• Method of calculation

• Number of occurrences of the earnings period

• Arrears

What NI Category Codes are Available?

The most commonly used category codes are: A, B, C, D, E, J, L, and X. Use them as follows:

Standard Rate Contributions:

Employees between the ages of 16 and the state pension age pay standard rate contributions in these categories:

• A -- not contracted out

• D -- contracted out for members of COSR schemes

Reduced Rate Contributions

Married women and widows who have a valid Certificate of Election pay reduced rate contributions in these categories:

• B -- not contracted out

• E -- contracted out for members of COSR schemes

Deferred Contributions

Deferred categories are:

• J -- Not contracted out, and has deferment.

• L -- Contracted out in COSR scheme, and has deferment.

Employer Only Contributions

Employees over state pension age.

• C -- Contracted in only.

  Oracle Payroll no longer records the notional employee contribution for NI category C. Make sure that you remove from category C any of your employees who have a deferment certificate.

Category X

Category X indicates that there are no contributions.

What Earnings Are Subject to NIC?

Earnings that are subject to NIC may be different from gross pay or taxable pay figures. They normally include all money payments to the employee and exclude any benefits paid to third parties on the employee's behalf.

Each tax year certain thresholds are announced: the Lower Earnings Limit (LEL), Primary Threshold (PT), Secondary Threshold (ST), Upper Accrual Point (UAP) and the Upper Earnings Limit (UEL). LEL is the minimum amount of earnings on which NIC may be paid for the current year, and UEL is the maximum amount of earnings that the employee's contribution of Class 1 can be based on. If the employee's earnings are less than the LEL figure, no NIC is deducted and there is no entitlement to benefits based on NICs.

For the Employer's secondary contributions there is a Secondary Threshold ST below which the employer pays no contributions.

For the Employee's primary contributions there is a Primary Threshold PT below which the employee pays no contributions.

Both Employee and Employer pay Not Contracted Out rate on earnings above the Upper Accrual Point (UAP).

There is no UEL for the employer's secondary contributions. In addition, since the tax year 1991/1992 the employer has a liability to pay Class 1A contributions on the taxable benefit of a number of benefits provided to the employee.

What Age Criteria Are Applicable to Employee's NIC?

There is no liability for either primary or secondary contributions if the employee is under the age of 16 years.

There is no primary contribution when the employee is above the state pensionable age.

How Do Pension Arrangements Affect Liability for NIC?

Employees who are members of occupational pension schemes are contracted out of the State Earnings Related Pension Scheme (SERPS). Their NIC is reduced by the amount that would have been paid into SERPS.

From April 2000 there is a further rebate for standard rate employees who are members of a contracted out occupational pension scheme.. The rebate is a percentage of the earnings between the LEL and the employee's earnings threshold.

What Earnings Periods Are There for NIC?

There are four basic earnings period types for NIC:

• Daily

• Weekly

• Calendar Monthly

• Annual

Weekly and Calendar Monthly are for employees on weekly or monthly payrolls. Annual is for directors or office holders. Daily is used for periods of more than seven days that do not fall into weekly or monthly categories.

You can make more than one regular payment to an employee within the earnings period. For example, employees with a week's salary retained by the employer on a 'week in hand' basis, can receive two payments in their final week.

Which Method of Calculating NIC Does Oracle Payroll Use?

There are two methods of calculation:

• Using the National Insurance tables issued by HMRC

• Using the exact percentage method

Oracle Payroll uses the exact percentage method. Both methods make use of rates and bands which may be changed annually.

How Do You Calculate NIC If An Employee is Being Paid for More Than One Period At the Same Time?

NIC is calculated at the time of payment, but if you have to pay an employee for more than one period at the same time, you usually calculate NIC on the earnings for each period separately.

For example, it proves impossible to pay a new starter in the period of starting so she receives a double payment in the next period. You calculate this employee's NIC separately for each period: it should not be aggregated in the second period. The system does not calculate this method automatically for new starters, so you must enter a figure into the NI element EIT for the amount of periods to use for a manual adjustment.

How Do You Correct Overpayments and Underpayments of NIC?

If a wrong category code is used for an employee, too much or too little NIC may be deducted. You can correct this as follows:

• If the employee has been overcharged, the balances maintained for year end reporting against each category code need to be corrected, and the excess deduction refunded.

• If the employee has been undercharged, the balances maintained for year end reporting also need to be corrected, and the balance of secondary contributions owing must be paid to HMRC with the next payment.

However the arrears of the primary contributions may only be recovered by doubling the actual primary contribution in subsequent periods. For example, if the arrears are 20.20 and the normal period NIC contribution is 15.20, you can double the contribution to 30.40, reducing the arrears to 5. The subsequent period's normal calculation is 14.80, which you can increase to 19.80, recovering the remaining arrears. Arrears in one tax year can only be recovered from the employee in that tax year and the subsequent year. Run the NI Arrears report at EOY which lists any assignment whose NI Arrears balance figure is not zero.

NIC: Employers liability for Employee Benefits

NICable Benefits are employee entitlements for which an employer is liable for National Insurance contributions. This can apply to any type of benefit, be it a one off non-recurring element such as a taxi fare, or a recurring element such as medical insurance.

You can enter the taxable benefits of each staff member and view the resulting tax liability for the employer. Viewing the costs can be broken down to individuals within a specified payroll, with parameters set so that a selected period of time can be viewed if required.

NIC for Company Directors

Special rules apply to the calculation of NIC for directors. A person is classified as a company director if he or she is appointed under Sections 291-294 of the Companies Act 1985. Directors' earnings are chargeable to Schedule E (PAYE) income tax.

Most directors receive annual fees and bonuses. To calculate their contributions on a normal pay period basis would mean they only had to pay NIC up to the weekly or monthly Upper Earnings Limit. National Insurance for directors is therefore calculated on an annual, cumulative basis, like PAYE.

The main differences in the calculation of directors' NIC are as follows:

• The use of an annual, or prorated, earnings period

• Calculation on the director's cumulative earnings

• Deduction of the difference between NIC paid and NIC due

Oracle Payroll uses the exact percentage method of calculation to administer company directors' NIC. The procedure takes into account changes in circumstances and recalculates the annual liability for each category each time.

For employees who become directors, NIC balances are maintained showing the director's figures in addition to the reporting balances that show contributions as an employee and as a director. The director or employer can choose to pay on account.

See: Entering NI Details for an Employee

P11D: Flat File Contents and Required Input Values

You can create a flat file to capture P11D information from a range of sources, for example Oracle HRMS, a third party payroll product, car fleet records, or from any spreadsheet. However, your flat file must always have a consistent set of contents every time you capture information for a particular element.

This topic includes each of the following:

• Supporting notes to help you to capture P11D information correctly

• List of P11D elements

• Required information for each P11D element

Supporting Notes to Help You to Capture P11D Information Correctly

Primary Classifications for P11D Elements

P11D elements have one of the following primary classifications all of which are unique to P11D elements:

• External Reporting

• External Reporting Car 0304

• External Reporting Loan

• External Reporting Van 2005

• External Reporting Van 2007

Guidelines on Effective Dates for P11D Elements

When you are entering effective date information for P11D elements, your entries depend on the whether employees have worked for the full financial year, or whether they have started or terminated their employment part way through a year.

List of P11D Elements

The following listings specify 'Do not Enter' for the Cost allocation flexfield segments values. However, if you have configured your Cost Allocation Key flexfield for the Element entries in such a way that a segment on the flexfield is mandatory, then you will not be able to enter the entries without specifying the costing information, unless, you set the Pay Action Parameter COST_VAL_SEGS to N. If you do set this parameter to N, we recommend you only do so for your P11D responsibility, as otherwise it will affect all other responsibilities.

These are the P11D elements. Click on each element name in the list to see what information is required for P11D elements that you are adding to the Central Data Repository (CDR). If input values are automatically supplied or calculated we explicitly note that you should not enter them when you are completing the element details:

• Assets Transferred

• Assets at Emp Disposal

• Car and Car Fuel 2003_04

• Expense Payments

• Int Free and Low Int Loans

• Living Accommodation

• MARORS

• Mileage Allowance and PPayment

• Other Items

• Other Items Non 1A

• Payments Made for Emps

• Pvt Med Treatment and Insurance

• Relocation Expenses

• Services Supplied

• Vans 2005

• Vans 2007

• Vouchers and Credit Cards

Required Information for P11D Elements

Entering NI Details for an Employee

The Statutory Details window lets you enter and view an employee's PAYE and NI information on one screen. Check box information displayed at the top of the window shows whether the employee has:

• NI multiple assignments

• PAYE aggregated assignments

You cannot change the entries in the multiple assignment and aggregated assignment check boxes. They reflect the entries made on the Employment tab of the Person window.

However, you can manually check the Excluded from WNU check box to specify that this employee should not be included in future Works Number Updates. This typically occurs in response to a HMRC notification that they do not need further updates for this employee.

To enter NI details for an employee

1. Query the employee assignment and choose the Tax Information button.

2. Change your effective date if required.

   Note: The Statutory Details window is now datetracked.

3. Choose the NI Details tab.

4. Select the NI category for the employee.

5. In the Certificate field, select the method of authentication for the employee's category if applicable.

6. Where applicable, enter the renewal date for the certificate.

7. Select the employee's pension type. Oracle Payroll validates the type you select as different rates of National Insurance apply to different types.

8. Select a process type for the category of employee. Oracle Payroll automatically performs the correct NI calculation for whatever process type you select. Leavers choices are only available when the employee is a leaver. There are thirteen choices, as follows:

   Deceased: When making the final payment to a deceased employee, no NI contributions are due. The process does not check the date of death. You should make sure that you have verified this date.

   Director: For an employee who is also a Director or Office Holder, NIC must be calculated on an annual frequency, irrespective of the frequency of the payroll the Director is assigned to.

   Director Normal. Treats the director as a normal employee for NI purposes until the last processing period., for example, leaver or last pay period in a year. The payment is then recalculated as a director's annual period.

   Director Pro Rate: If the employee is appointed a Director partway through the year, the calculation frequency is based on the annual bands prorated by the remaining weeks in the year. However, if the Director resigns partway through the year, the annual frequency remains. The proration is based on the date of appointment to director changed by datetracking on the Personal Details form.

   Director Normal Pro Rate: If the employee is appointed as a director part way through the year, but the NI contributions are to continue as a normal employee. The final period of payment for the director in the year will be reassessed as an annualised director calculation and any corrections will be made.

   It is important to remember that when calculating a director as an employee there is the potential to overcharge or undercharge. These differences will be assessed in the final period of payment for the director in the Tax Year, and recalculated. However, note that the application of all forms of director on account methods are at the discretion and control of the payroll department. Oracle Payroll will calculate the shortfall, but this does not guarantee that you will be able to recover it.

   Irregular Periods: If the employee works for more than seven days in a frequency that does not fall into one of the basic tax frequencies, NIC is calculated on a daily basis.

   Left Irregular: If the employee has left but a late payment is due, for example, a back dated salary award, use the Weekly tax basis. Do not use the Contracted Out codes for longer than six weeks after the employee leaves.

   Left Last Year Irregular Payments: This is the same as Left Irregular but only Not Contracted codes can be used.

   Left Last Year Regular Payments: This is the same as Left Regular except that only Not Contracted codes can be used in a new tax year.

   Left Regular: This is used when the employee has left but is receiving regular payments, for example, a commission. In such cases the normal frequency continues to be used, but after six weeks, any Contracted Out codes revert to the Not Contracted Out equivalent.

   Multiple Periods: This is used when more than one normal payment is being made in a single processing period. NIC can be calculated on each normal payment in isolation.

   Normal: This is the category for all those not in one of the other ten special categories. Most employees in your enterprise will be in this category.

   Pensioner Director: If the NIable Pay was earned before the director became a pensioner, he or she must still pay NIC.

9. In the Period field:

   • Enter a number of days if you selected Irregular Periods as the process type

   • Enter a number of periods if you selected Multiple Periods as the process type

10. Select a period type if you need to prioritize multiple assignment processing according to period type. Otherwise, leave this field blank.

    Prioritizing Assignment Processing

11. In the SCON field, enter the employee's Scheme Contracted Out number if he or she is in a Contracted Out Money Purchase pension scheme (COMP). Valid values for this field can be set by users for the Lookup GB_SCON.

    The following check boxes are checked automatically:

    • Director Indicator

    • Pension Indicator

Correcting NI Category Code Entries

If an employee is allocated a wrong NI category code this could result in the employee assignment receiving a wrong entry of one of the NI category code elements. You can correct this by taking the following steps:

• Enter the correct NI category code element for future deductions

• Correct the amounts wrongly deducted through the previous category code element

• Refund any overpayment of NIC by the employee as a result of the error, or

• Record any underpayment that results as arrears for recovery through the system

You make these corrections in the Element Entries window for individual assignments by entering positive or negative amounts directly onto the relevant NI category code elements.

Before you make these changes, you must know:

• The correct amounts to deduct from each assignment for the NI category code element that should have been allocated.

• The correct amount to enter for the element NI Employer.

To enter the correct NI category code element:

1. Set your effective date to when you want the element entries to take effect. The date you set must be for an unprocessed pay period.

2. In the Element Name field, select the element for the NI Category that the employee should have had deductions made against.

3. Choose the Entry Values button.

4. Enter the correct entry values for the element. The amounts you enter should be the total values that would have accumulated had the correct category been used. The Pay Value must hold the amount of NI that should have been deducted.

5. Close the Entry Values window.

To reverse the values previously entered in error

1. In the Element Name field, select the element for the NI Category that was entered wrongly for the employee.

2. Choose the Entry Values button.

3. Enter negative amounts for the relevant input values for the element to clear the values that have accumulated in error.

4. Close the Entry Values window.

To correct the values entered for the NI Employer element:

1. In the Element Name field, select the element NI Employer.

   Note: If the requirement is to cost this as a separate item, select the element NI Employer Arrears instead.

2. Choose the Entry Values button.

3. In the Pay Value field, enter the difference between the total amount as held and the total amount that should have been calculated.

   This entry corrects the value held for NI Employer.

4. Close the Entry Values window.

To create an NI Arrears entry for employee undercharges:

If the net difference between the old and new pay values indicates too much was deducted, the refund will be made to the employee when the element entries are processed. If the net difference indicates too little was deducted, follow this procedure.

1. In the Element Name field, select the element NI Arrears.

2. Choose the Entry Values button.

3. Enter in the Pay Value field the amount of the undercharge for NI. The value must be entered as a negative amount, for example, -105.

   This entry will ensure that arrears are recovered over successive periods if necessary, in line with current legislation.

   Note: To carry forward any NI arrears balance to the new tax year, ensure you set up and associate the NI Arrears Carry Forward to New Tax Year element with employees who have a negative Pay Value.

4. Close the Entry Values window, and save your work.

Overriding NI System Calculations

If necessary, you can override the system calculation for NI for individual employee assignments in the Element Entries window.

To create an override for NI

1. Set your effective date to the payroll period in which you want to make the override.

2. Create a new entry and select the nonrecurring element for the correct NI Category.

3. Choose the Entry Values button.

4. Enter the amounts that you want the system to use in the appropriate entry values.

5. Close the Entry Values window.

6. Check the Override check box.

   Note: When the NI element is processed, it still creates a nonrecurring entry for the appropriate category, but the run results for this entry show what the system actually calculated. The entry will be marked Overridden.

7. If necessary, repeat the above procedure for the element NI Employer.

Updating an Employee to Director

You enter director information in the People window and in the Statutory Details window.

To update an employee to director:

1. Set your effective date to the day of the employee's appointment as a director.

   This date is used to calculate what earnings were made after the appointment, and the number of weeks to pro rate the NI thresholds by.

2. Query the employee in the People window and choose the Employment Information region.

3. Check the Director check box, and save your work.

4. In the Statutory Details window for the employee assignment, select the appropriate director category in the Process Type field. There are three choices:

   • Director

   • Director Pro Rate

   • Pensioner Director

   The calculation for Director and Pensioner Director is based on an annual period. The calculation for Director Pro Rate is based on the number of weeks left in the year after the appointment as director.

   Note: If you want to appoint a director who is not subject to the Special Rules NI calculation, check the Director check box only, as in Step 3 above. Leave the Process Type field in the Statutory Details window blank.

To make a retrospective change to a director's NI:

If you learn that an employee has been appointed director after you have made the payments for that month, you can correct this in the People window and then the Statutory Details window:

1. Set your effective date to the day of the employee's appointment as a director.

2. Query the employee in the People window and choose the Employment Information region.

3. Check the Director check box, and save your work.

4. In the Statutory Details window for the employee assignment, select the appropriate director category in the Process Type field.

   In the run following, Oracle Payroll will calculate the NIC on a pro rata basis and adjust the previous period's figures.

Updating a Director's Employment Status

It is important to accurately record changes to a director's NI category and pension arrangements as this means a change to his or her employment status. You record these changes in the Statutory Details window for the employee assignment.

If a director resigns and continues to be employed by the company during the same tax year, his or her earnings period for NI does not change. NIC continues to be calculated cumulatively for the ex-director using the annual earnings period.

To update a director's NI category and pension arrangements:

1. Set your effective date to the date of the changes to the director's employment status.

   It is important to enter your changes on the correct date. Earnings before the change will be calculated on the previous circumstances.

2. Change the director's category if the director has lost the right to a reduced rate NIC.

3. Change the director's pension and category if the director does one of the following:

   • Leaves the company's contracted-out pension scheme

   • Joins the company's contracted-out pension scheme

   • Joins or leaves an appropriate pension scheme

4. If the director reaches pensionable age, change the category and change the process type to Pensioner Director.

Paying Directors' NIC On Account

As NIC for directors is calculated on an annual earnings period, the company and director may find that contributions are not payable for the initial pay periods until the LEL is reached. At this point contributions increase substantially. For this reason NIC can be paid on account from the start of the directorship.

With the director's permission, NIC can be paid before earnings reach the LEL. For the director this is paid at the initial rate applicable up to the LEL, and for the employer, at the lowest not contracted-out rate.

However, from 6th April 2003 the NI Director on Account element is no longer available. You should now enter details for NI Directors on Account in the GB Tax Information window

To enter NI details for Directors on Account

1. Navigate to the GB Tax Information window

2. Set up the process types for NI Director on Account details

   See Entering NI Details for an Employee

Viewing Processing Results for a Director

The Tax Payments Listing displays balances for all categories the director has been on from the start of the year.

The Pay Advice Report displays the following information with the run results for the current period's processing:

• Total earnings subject to NI

• Earnings for each category

• Number of weeks if prorated

• Whether deductions made 'on account'

• Employer rate used

The calculation is done on all categories the director has been on. The results may therefore be output to more than one category's balances.

To view processing results for a director:

1. Select the run in the Employee Assignment Processes window

2. Choose the Balances button.

Paying Employers' NIC On Account

Employers can elect to even out payments of NIC by paying a higher band percentage if the director's earnings are expected to rise over the year. The maximum increase allowed is 10% of earnings.

You arrange to pay employers NIC on account for a director in the Element Entries window.

To enable payment of employers' NIC on account

1. Set your effective date to when you want to begin paying employers' NIC on account.

2. Do one of the following:

   • If the director already has an entry of the element NI Director on Account, select the element and choose the Entry Values button.

   • If the director does not have an entry of the element NI Director on Account, select this element in the Element Name field and choose the Entry Values button.

3. In the Secondary field, set the contracted in rate you want to use. Set this rate in decimals. For example, you would enter 10% as .1.

   Note: If the director is contracted out, Oracle Payroll derives the equivalent contracted out rate for the calculation. These rates are validated against the user table NI_ERS_WEEKLY column C_ERS_RATE_CI.

Running the NI Arrears Carry Over report

This report lists assignments with NI Arrears balance figures that are not zero. You use this report at End of Year to assess if there are any assignments with NI Arrears to be carried forward into the new tax year.

Note: This information also appears on the End of Year Reconciliation report.

You run this report in the Submit Requests window.

To run the NI Arrears Report

1. In the name filed, select the report name. Then select the Parameters field to open the Parameters window.

2. Enter the effective date of the report.

3. Select the payroll for which you want to see information.

4. Choose the submit button.

To carry over NI Arrears for an assignment, you date track into the new tax year and add the NI Arrears element with a negative pay value to the assignment.

Running the Multiple Assignments Report

This report lists employees who have been marked for multiple assignment processing, and indicates where Priority Processing Type is not set and cannot be defaulted.

You run the Multiple Assignments Report from the Submit Requests window.

To run the Multiple Assignments Report:

1. In the Name field, select the report name.

2. Enter an effective date for the report. The default is the session date.

3. Choose the Submit button.

Setting Up Multiple Assignment Processing

Oracle Payroll supplies the nonrecurring element NI Person and the formula NI_PERSON to handle aggregated NIC calculations. The formula takes into account the priority of the different NI categories and the current rates of LEL and UEL. You do not link the element as it is defined for indirect results only.

When you enter on the system that an employee has multiple assignments, the NI_PERSON formula runs every time payroll processing takes place for this person's assignments. The system then aggregates earnings for all assignments with the same tax reference. You enter tax reference information when you define payrolls.

See: Payroll Definition Overview

You set up multiple assignment processing for an employee in the Person window.

To set up multiple assignment processing

1. Check the NI Multiple Assignments box in the Employment region.

   The NI_PERSON formula will now calculate NIC across all payroll assignments for this employee and aggregate them by tax reference over each statutory period.

   The formula also generates a message that you can view with the run results from the Payroll Processes window. The message displays:

   • Total earnings subject to NI

   • Earnings for each category

   • Period type used

   • Employer rate used

2. View the Balance window.

   As the formula calculation is performed on all the NI categories that relate to the employee, the result often feeds more than one category's balances. The Balance window in Assignment Process Results shows the balances that have been updated in this way during the run.

Prioritizing Assignment Processing

When you aggregate the earnings calculations of multiple assignments, you have to give processing priority to each assignment in the following order:

• Appropriate Personal Pension assignments

• Contracted out assignments

• Non-contracted out assignments

If there are two or more assignments in the same category, you should give priority to the one with the shortest processing period. However, HMRC can reverse this rule in particular cases if it accepts that most of the employee's earnings come from the assignment with the longer period.

Total earnings can vary according to how many weekly payments fall within the monthly period. For more details and examples of multiple employments calculations, refer to the CWG2 Manual and Supplement for the current year.

You prioritize assignment processing for each assignment in the Statutory Details window.

To prioritize assignment processing

1. In the NI region, select the Priority Period Type you require.

   If you do not enter the Period Type the formula defaults to the period of the payroll.

   Note: The assignment process errors if the assignment's period type is not specified and the formula detects that the assignments being calculated in association are for more than one period type.

Setting Up Your Data for P11D Processing

Before you can generate P11D reports for EDI submission to HMRC you must perform each of the following setup activities. They are an essential first stage in gathering a complete set of information, and ensuring that it is in the correct format for P11D reporting. In addition, ensure that you complete the P11D process, including the creation of the EDI file, as early as possible. You can send a test EDI file to HMRC well in advance of the EDI final submission date to avoid last-minute changes.

Extract your data into a flat file

If your P11D data is in Oracle HRMS, you can use the Oracle HRMS System Extract tool.

• See Benefits System Extract, Oracle HRMS Compensation and Benefits Guide

Note however that you cannot use System Extract to extract details for multiple assignments.

If your P11D data is not in Oracle HRMS then you need to create a flat file or extract one from existing spreadsheet entries. The steps are

1. Your System Administrator should define the directory in which your P11D flat file is stored. This is so that the upload process can access the file when you are creating your data repository.

   To do this, log in to the System Administrator responsibility and select System/Profiles from the navigator. Set up the profile HR: Data Exchange Directory for the UKPS Responsibility and specify the directory for your upload file.

   Your System Administrator should also add this specified directory to the utl_file_dir database parameter so that the database can access your chosen directories.

   See System Profile Values Window

2. Your System Administrator should set these profile options:

   • HR: Intermediate File Output Storage Folder. Make sure that this is an area with read/write access, and that it is available at all tiers. Note that this profile is case sensitive so ensure that you match the path of your out folder exactly for example /out_folder.

   • HR: Records to be Processed in Memory. Always set this to 1.

3. Save your spreadsheet file in delimited format, and make a note of the character that you have used as your delimiter so that you can supply this information when uploading your flat file to the data repository.

4. If your flat file has been saved with a title in the first line, remove the title.

5. Save your file in UNIX. Do not save it in DOS format.

6. Copy your file to the directory from which you want to upload it.

   Whatever method you choose to create your flat file, your final version must contain the all the required entries and input values for each P11D element.

   See Required Information for Each P11D Element

Link Your P11D Elements

You must link your P11D elements to a payroll so that you can view them. When you do this, do not modify the minimum and maximum values for the element. This is because these values must fall within the range specified by HMRC otherwise your element is not a valid P11D element.

See Defining Element Links, Oracle HRMS Compensation and Benefits Guide

Upload Taxable Benefits to the Batch Element Tables

See Uploading Taxable Benefits

Use Batch Element Entry to transfer your P11D data to the data repository

See Making Batch Element Entries Using BEE, Oracle HRMS Compensation and Benefits Guide

View and Amend P11D Information

You can view P11D information in the P11D Element Entry History window. You can then make updates to the flat file and regenerate it, or change entries in the Central Data Repository (CDR) using the P11D Element Entry window. You are most likely to make direct changes to the data repository when you receive notice of late changes close to the reporting deadline. You can make these changes to the CDR directly from the P11D Element Entry window.

However, you should always make these changes as corrections rather than updates. This is because cash equivalents are always calculated from the benefit start date and benefit end date rather than from the effective start date and effective end date of the element entry.

You access the P11D Element Entry window from the Assignment form. Choose the Others button and then select P11D Element Entry. You can only use this window for viewing P11D elements - that is, from this window you can only view and amend elements that have one of the following classifications:

• External Reporting

• External Reporting Car 0304

• External Reporting Loan

• External Reporting Van 2005

When you have completed these setup activities you can then:

• Generate a P11D report to summarize P11D elements for an entire business group, or for a particular payroll, employee or assignment set.

• Make the P11D reports available to your employees so that they can validate their personal information.

• Regenerate an amended report and submit the final EDI version to HMRC.

• Retain any P11D information that you are required to keep and remove any interim working files that you no longer need.

For information about each of these activities see Reporting on P11D: Process Overview

Setting Up Menus to View P11Ds Online

Use these instructions to give employees and managers access to P11D menus..

To set up your menus to view P11Ds online:

1. Using the Menus window, add the following functions to the appropriate menus:

   • For the Manager Self Service menu, add P11D Employee Search (PER_P11D_EMP_SEARCH) and Advanced Search (HR_ADVANCED_SEARCH_SS). This enables managers to view the P11D Reports for the people they supervise.

   • For the Employee Self Service menu, add Employee SS P11D Report (PER_P11D_SS). This enables employees to view their own P11D reports online.

2. Provide a prompt for the custom function. The prompt that you choose appears to users when they access these menus.

3. Ensure that these menus are attached to responsibilities associated with users who need to access P11D information.

4. Set the HR: Include Terminated People in Search profile to Yes for the users and responsibilities used by your managers. This ensures that managers can still view the P11D reports for people who have left your company.

Uploading Taxable Benefits

Use the Upload Taxable Benefits process to transfer taxable benefits information from a flat file format into the Batch Element Entry (BEE) tables. Once you have transferred taxable benefits information to the BEE tables you can then run the BEE transfer process to create new P11D information in the Central Data Repository (CDR) or update existing information.

To upload taxable benefits to the BEE tables

1. Enter the File Name for the file that contains your taxable benefits information.

2. Enter the Field Delimiter.--this is the symbol that you selected as the delimiter for your flat file, for example the @ symbol, or a " , " for comma-delimited files.

3. Select one of the following if you want to determine at this point what action the BEE process should take if it discovers that some of your element entries already exist.

   • Update

   • Reject

   • Insert

   We recommend that you select Update. You can also select these options later when you run the BEE process.

4. Select one of the following methods of handling Date Effective Changes if you want to determine at this point what action the BEE process should take if it discovers that some of your element entries require correction or update.

   • Correct

   • Update/Change Insert

   • Update/Override

   We recommend that you select Correct. You can also select these options later when you run the BEE process.

5. Check that the Batch Name appears automatically.

6. Click OK, to confirm that the parameters are correct.

7. Click Submit, to run the process.

   Note: When you upload P11D benefit element entry for terminated/ex-employee using P11D Upload Taxable Benefits process, select the employee termination date as the end date of the element. However, you can select any date as the benefit end date.

Downloading Taxable Benefits

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To download

1. do this

Reporting on P11D: Process Overview

Once you have extracted your P11D elements to the Central Data Repository (CDR) you can perform each of the following activities that enable you to produce a P11D report, validate it, and then submit a final report to HMRC.

If you want to verify that you have completed all the setup stages for your data, see Setting Up Your Data for P11D Processing

To produce an interim P11D report for validation

You can do this at any time during the year, although the need most typically arises in the period between the end of the tax year (5th April) and the 6th July deadline for the submission of P11D reports to HMRC.

1. Run the P11D Legislative process to initiate the Legislative Report Generator and take a snapshot of the data on which you want to report.

   See: Running the P11D Legislative process

2. Run the P11D Reports process

   See Running the P11D Reports

3. View the information in the P11D reports, and if amendments are necessary either correct at source and re-extract the updated information, or amend the details in the the data repository. In either case, repeat these steps from step 1.

4. Run the P11D EDI process

   This is an optional step when you are producing a report for validation.

   See Running the P11D EDI process

To submit a final report to HMRC

1. Run the P11D Legislative process to initiate the Legislative Report Generator and take a snapshot of the data on which you want to report.

   See: Running the P11D Legislative process

2. Run the P11D Reports

   See Running the P11D Reports

3. Run the P11D EDI process

   See Running the P11D EDI process

To produce the P11D(b)

When you are completing the paper P11D(b) you can find the required information in the Archive Report Log.

To produce a supplementary P11D report

After you have submitted your P11D report to HMRC, any future P11D submissions to HMRC are described as supplementary P11Ds.

To produce a supplementary P11D report you should create new element entries and correct existing entries for the affected employees. Then, you run the P11D Legislative process again using this assignment set. Choose supplementary as your run type. From this point, the steps are the same as for the original run. However, you should contact HMRC for advice on the correct format for these amendments (paper P11D replacements, paper P11D updates/changes).

To retain historical information

You can purge temporary data created during BEE processing and temporary data repository entries. Your temporary pdf files are in the folder that you specified in the profile option HR: Intermediate File Output Storage Folder.

However when you make your final submission to HMRC, you should keep the BEE data and data repository information for this submission until HMRC has accepted your return.

When purging archive data do not delete historical data unless you are sure that HMRC no longer needs to see it.

Running the P11D Legislative Process

You generate a legislative report by running the P11D Legislative process from the Submit Requests window. This takes a snapshot of the benefits data so that you can perform all future processing on this snapshot of the data. When you take the snapshot, calculations are performed on the input values, and each input value is validated. The process also assigns a unique archive request ID for each listing. You must then supply this archive request ID when you subsequently submit the P11D EDI, and the P11D reports.

When the archive process is running, it automatically calculates any input values for which amounts can be derived, and performs validation to identify any data that is not in a valid P11D format.

You must make the necessary corrections and retry the P11D Legislative process if you find any errors. Errors on a single assignment do not prevent the whole process from completing. When processing an assignment, if the legislative process finds an invalid benefit entry, it halts processing of that entry but still attempts to validate any further benefit entries associated with the assignment.

To run the P11D Legislative process

1. Enter the Benefit Start Date

2. Enter the Benefit End Date

3. If you are producing a supplementary P11D, then select Supplementary in the Run Type field. By default the run type is set to Main.

   If you do not make any further selections, then the report that you generate includes every expense liable for P11D for this security profile and this time period. However, you can supply one or more of the following parameters if you want to refine your reporting criteria.

4. Enter the Payroll name.

5. Enter a Person Name.

6. Enter the Employer's PAYE reference.

7. Enter a Consolidation Set.

8. Enter an Assignment Set Name.

   Note: If you only include one assignment for an employee who has multiple assignments, it will not generate an archive request ID. This is because only one P11D is produced for multiple assignments so you should include the multiple assignments in the assignment set.

9. If you want to add a comment to explain what this legislative report contains, you can add this explanation in the Notes field. For example, you might want to indicate that a particular legislative report is to be draft only, or that it only applies to a specific subset of employees.

10. Indicate whether the process should perform EDI validation on the benefits data. If you set the parameter to Yes, Oracle Payroll performs the following validations:

    • If the Cost Equivalent value is less than one Pound, the application does not generate an EDI record. Instead, it generates a Warning message in the P11D log file. You can make changes to the data, if required, before proceeding further.

    • The application uses rounded figures (without Pence denominations) of the Cost Equivalent, Amount Made Good, and Cash Equivalent values and applies the A – B = C validation guidance from HMRC. For example, the application processes the calculation 1234.56 - 234.78 = 999.78 as 1234.00 - 234.00 = 1000.00.

    Note: Oracle recommends you enter P11 D data only as whole pounds.

11. Click on OK when you have selected all the parameters.

If any of your assignments have failed validation, you need to make the necessary corrections and retry the legislative process, using the Retry Payroll Process process. You may need to run the retry process a number of times before you resolve all of your invalid assignments. You must correct all errors before you continue to the next stage.

Once you have corrected all your errors, Oracle recommends that you rollback your legislative process, using the Rollback process, and then resubmit the legislative process. This will ensure that you have the complete process run in one archive action.

Changing the P11D Status

All P11D archives initially have a status of Draft to indicate that your employees cannot view them. However, you can change this status to Publish when the P11D details are ready for employees to view. You can also select a status of Submitted to indicate that you have submitted this P11D return to HMRC.

Use the P11D Status window to review or change the status of your P11D archive. You access the P11D Status window from the Submit Requests window.

To change P11D status

1. Select your archive request id.

2. Select the changed status for your report:

   • Draft -- if you want to restrict this information to payroll administrators and prevent employees from viewing it at this stage.

   • Publish -- if you want to make this information available for employees to view.

   • Submitted -- if you want to indicate that you have now submitted this P11D archive to HMRC.

Running the P11D Reports

Run P11D Reports (PDF) when you want to view the details of P11D elements for your business group. Depending on the level of detail that you want to see, you can select any of these reporting choices:

• P11D - this produces a single line for each P11D element but does not itemize individual instances.

• P11D Summary - this produces all the individual instances of each P11D element.

• P11D Worksheets - these are available for six of the more complex elements.

To run any of these reporting options you must be able to identify an archive number on which you want to base your report.

Note that when you are copying any of these output files from one machine to another you should select the binary mode of transfer in FTP. This preserves your file in readable format.

You run P11D Reports (PDF) from the Submit Requests window.

To run the P11D Reports (PDF) process

Selecting the printing options for your report

1. In the Request field, select P11D Reports (PDF).

2. Click in the Parameters field to open the Parameters window.

3. If you want to generate an address page for the P11D report, select Yes in response to Print Address Page? Otherwise, select No.

4. If you want to generate the P11D report, select Yes in response to Print P11D? If you just want to generate either the summary pages, or the worksheets, select No.

5. If you want to generate the P11D Summary, select Yes in response to Print P11D Summary Pages? Otherwise, select No.

6. If you want to generate the work sheets, make one of these selections:

   • Car and Fuel Benefits Working Sheet.

     Note: If you have employees with more than two cars, the P11D process generates a Warning message in the archive output report. You can then print working sheets for cars and attach them to P11D report. However, the EDI process does not require this manual intervention. This worksheet reports the 8 different fuel types under the fuel types A, D, and E which are applicable after 6th April 2011. Fuel type B,C,G,H, and P are reported as fuel type A. Type L and D is reported as fuel type D. Fuel type E has not changed and is reported as E.

   • Interest Free and Low Interest Loans Working Sheet.

   • Living Accommodation Working Sheet.

   • Mileage Allowance Payments and Passenger Payments Working Sheet.

   • Relocation Expenses Payments and Benefits Working Sheet.

   • Vans Available for Private Use Working Sheet.

   • All - to generate all work sheets that are available for an employee. This is always a maximum of six work sheets, but can be fewer than six if not all six work sheets are available for an employee.

   • None - to generate none of the six available worksheets.

7. Enter the Archive Request ID

   Selecting criteria for your printed report

   In steps the previous steps you are choosing to print all the available taxable benefits information for your business group according to the printing selections that you make. If you make no further selection then the report runs for all employees in the archive request ID.

   You can further refine what is included in your printed report by selecting further criteria. This is useful if you want to report on a smaller sample for validation purposes, or if you want to report on a particular department or group of assignments for easier distribution of paper copies.

8. Enter the organization.

9. Enter the organization hierarchy. This reports on the taxable benefits for your organization, and all organizations below it in the hierarchy.

10. Enter the assignment set. This must be a static assignment set. It should not include any formulas.

11. Enter the location.

12. Enter the person

13. Select how you want your results to be ordered. You can sort on either employee name or employee number.

14. Enter the number of people to be included in each PDF file. This enables you to limit the size of the PDF files to ensure they are of a manageable size. If you leave this field blank then the default is 500 employees.

15. If you want to limit the report to only include ex-employees, select Ex-employee in the Person Type field. If you leave this blank then all employees are included.

16. Select the required print option. The default value is Double Sided Printing

17. If you do not want to use the default data privacy marking, which is Private and Confidential, then you need to add your own value using the GB_P11D_PRI_MARKINGS lookup.

18. Choose OK, to confirm that the parameters are correct.

19. Choose Submit, to run the process.

Running the P11D Gaps and Overlaps Report

Run the P11D Gaps and Overlaps report when you have uploaded your P11D elements to the Central Data Repository and you want to identify employees who receive:

• The same type of benefit at overlapping periods within the tax year.

• The same type of benefit at multiple periods with a gap between each of the periods.

Once you have identified these employees you can review each gap and overlap against the rules applicable for your organization. For example, loans are often permitted to overlap. For other benefit types, however, a reported overlap can give an early indication of a double entry that you should correct before generating your P11D reports.

You run the P11D Gaps and Overlaps report from the Submit Requests window.

To run the P11D Gaps and Overlaps report

1. Enter the Benefit Start Date and Benefit End Date

2. Enter the Validation criteria

   • Select the Benefit Type. If you do not make a selection, the report runs for all benefit types.

   • Select the maximum number of days allowed before an overlap is recorded. For example, if you select 02 then an overlap of 2 days is permissible and is not reported, but anything in excess of 2 days is reported as an overlap.

     The default value is 1 day.

   • Select the maximum number of days allowed before a gap is recorded. For example, if you select 25, then a gap of 25 days is permissible and is not reported, but anything in excess of 25 days is reported as a gap.

     The default value is 30 days.

3. Select the employees on whom you want to report:

   • Enter the Payroll

   • Enter the Person Name.

   • Enter the Employer's PAYE reference.

   • Enter the Consolidation Set

   • Enter the Assignment Set. This must be a static assignment set. If an employee has multiple assignments, you should include each assignment.

   Note that gaps in benefit type arising because employees have started or left in the middle of a tax year do not appear on the Gaps and Overlaps report.

4. Choose OK, to confirm that the parameters are correct.

5. Choose Submit, to run the report.

   Note that although the Gaps and Overlaps report provides an initial indication of possible discrepancies this is always dependent on the particular rules applicable in your organization. There is additional validation of your P11D data when you generate your P11D reports.

Running the P11D EDI Process

You use the P11D EDI process to submit a record based on the P11D archive request id which the P11D Legislative Process generates. Employers must submit P11D details for the preceding tax year to HMRC by 12th July. This should be a single return for the entire tax year.

Note: If an employee has a total P11D value/benefit value of less than GBP1, the EDI file will be rejected. This is because HMRC translate the EDI file to magnetic tape format files prior to processing and the magnetic tape processes round down to the nearest whole pound. Therefore, it is advisable that you enter values in whole Pounds only.

You run the P11D EDI process from the Submit Requests window.

To run the P11D EDI process

1. Enter the Request ID. This is the archive request ID which was automatically generated when you ran the Archive P11D process.

2. Indicate if this is a test submission.

3. Select the PAYE Reference for which you want to produce the EDI file. Leave the option blank to include all PAYE References in a single EDI file.

4. Choose OK to confirm that the parameters are correct and choose Submit to run the process.

EDI Processing

EDI Processing for Payroll

Oracle Payroll can produce a file in the correct format for Electronic Data Interchange (EDI) transmission by third party software.

You can send and receive the following PAYE information to HMRC electronically:

• P11D - This contains a Director's or employee's expenses and benefits during the tax year.

• P45(1) - Paper report issued when an employee leaves their current employment. There is no EDI file to send to HMRC.

• P46 (Car) - Notifies HMRC of any employee company car details including changes to fuel types.

• Printing the P45 Report - You can choose to print a carbon or laser copy of the P45.

You can use the EDI validation option to check for errors before you transmit any P45's to HMRC electronically.

Note: The following EDI processes available in Oracle HRMS are obsolete and you no longer need to run them:

• P46 EDI Process v6

• P46(Car) EDI Process V4 - Pre 06-Apr-2012

• GB EDI WNU(1) Process

• GB EDI WNU(3) Process magtape

Magnetic tape communications are no longer available. Use the paper forms for P6/P9 from HMRC and P11D forms to HMRC. Additionally refer to the RTI processes.

The P45 Issued for Active Assignments Report

P45 report is now only for issue to the employee and you no longer need to send it to HMRC. For assignments where P45 reports have been issued, Oracle Payroll calculates tax using the BR tax code, irrespective of the employee termination status. However, you may have issued a P45 report for terminated assignments and then reverse-terminated them without rolling back the P45 report. As a result, you application may contain invalid P45 information. To resolve this issue, you must generate the P45 Issued for Active Assignments Report setting the regular payment date of the payroll as the effective date to identify the P45 information you must clean up to ensure the application performs tax calculations accurately.

The P45 Issued for Active Assignments Report displays assignments that are active or suspended as of the effective date and also have the P45 report issued. The report displays details of the P45 reports issued either manually or by running the P45 process. It also identifies if a P45 report has been issued to another aggregated assignment of the employee. After generating the report, you can review the assignments to verify the P45 information and perform the following steps if you do have assignments with invalid P45 reports:

• In case of a manually issued P45 report, delete the manual issue date for the assignment on the Tax Information window.

• In case of a P45 report issued by the P45 process, delete the P45 EDI process, and then delete the P45 assignment action using the View Assignment Processes window.

Running the P6 and P9 Upload Process

Run the P6 Upload Process from the Submit Requests window to upload the details about changes to an employee's tax code, or coding changes from HMRC.

To run the P6 Upload Process:

1. Select the process name from the Name field.

2. Enter the P6 filename in the Parameters window. This number is sent electronically to you by HMRC.

3. Enter the Effective Date. You can optionally enter the Payroll Name.

4. Choose the Submit button.

5. Choose the Refresh Data button to update the report processing.

6. Choose the View Details button to see a summary of the information submitted.

7. Choose the View Log button to check error messages.

Running the P45 Process

Run the P45 Process from the Submit Requests window to print and archive, or just archive specified P45's. You can optionally perform EDI validation at this point. For a P45 to be produced, the employee must have had a payroll action, otherwise the process will fail.

To run the P45 Process:

1. Select the process name from the Name field.

2. Enter the Start, Effective and End dates for the processing period, in the Parameters window.

3. Select for whom you are running the report, by entering either the Payroll name or the Employer's PAYE reference. If you enter the Payroll name, the Employer's PAYE reference is displayed automatically.

4. Select the style of stationery you want to print with.

5. Select Yes if you want to perform EDI validation, otherwise select No.

   Note: You can perform validation for EDI. If you intend to send the document by EDI at a later date, then it is still advisable to perform the validation now. Submitting the report at this point allows the system to flag up any error, letting you rectify problems before sending data to HMRC.

6. Select Yes if you want to defer printing the P45, otherwise select No. If you defer, you can reprint at a later date by running the P45 Report. Archiving occurs automatically once you submit the information.

7. Choose the Submit button.

8. Choose the Refresh Data button to update the report processing.

9. Choose the View Details button to see a summary of the information submitted.

10. Choose the View Log button to check error messages.

Running the P46(Car) EDI Process V5

Use the P46(Car) EDI Process V5 to extract report details for HMRC. You should normally do this at the end of each calendar quarter. Your report is in the generic file format required by HMRC, and it identifies the following changes all of which affect the taxable status of your employees:

• New Car - when an employee receives the use of a car, and the employee's primary assignment does not have any other car allocated in the 30 day period preceding the allocation of the new vehicle.

• Replacement Car - when an employee receives the use of a car, and the employee's primary assignment has also had another car allocated in the 30 day period preceding the allocation of the replacement vehicle.

• Car Withdrawal - when an employee ceases to have the use of a car and does not receive either a new vehicle, or a replacement vehicle.

• Change in the number of cars available to an employee.

The P46 form includes all employees for whom these car allocation changes apply. In practice, changes of allocation can also be associated with an Earnings Eligibility of above 8,500, or with Director Status, but the P46 Car form reports car allocation changes for all employees regardless of whether they also meet these eligibility and status criteria.

You run the P46(Car) EDI Process V5 from the Submit Requests window.

To run the P46 Car EDI process

1. Enter the Start Date to indicate when you want to begin reporting changes of taxable status. Any changes of taxable status that occurred before the date that you choose are not included on your report.

2. Enter the End Date to indicate when you want to stop reporting on changes of taxable status. Any changes of status that occur after this date are not included in your report.

3. Select for whom you are running the report by entering the Payroll Name or the Employers PAYE Reference. If you enter the Payroll Name, the Employer's PAYE Reference displays automatically. This ensures that there is only one P46 file for each employer.

4. Select Yes in the Test Submission list to mark the files as test files only.

   You would typically need to do this when you are first setting up electronic messaging and you want to confirm that the HMRC receives your files correctly.

End of Year Processing

EOY EDI Process: Accuracy Requirements

As an employer you must submit a declaration and a certificate on the documentation submitted to HMRC each year. The deadline is May 19 following the end of year, with penalties for lateness and for incorrectly completing the return. You submit your return using Electronic Data Interchange Submission.

See: Running the End of Year EDI Process

EOY Process: Stationery Formats

The P60 process generates P60 reports using Oracle Reports. You can then print these reports in the following P60 stationery formats:

• P60 Substitute Style A. This is a landscape continuous mailer format available from Economailer.

• P60 Substitute Style LE. This is a portrait laserfold and seal format available from Economailer. If you are using this format make sure that your PCL font pitch is set to 10.

• P60 Portrait. This is a laser or continuous format available from HMRC.

EOY Process: Viewing in Postscript

For maximum clarity of the printed display, we supply your P60 Substitute Style LE and P60 Portrait reports in postscript format only. You can no longer view these reports in a text editor, so please obtain a postscript viewer if you do not already have one.

EOY Process: PDF Format

To generate the P60 reports in the PDF format, you can use the Year End P60 Report Type LE(PDF) and Year End P60 Report Portrait(PDF) concurrent programs. Oracle Payroll uses XML publisher templates for these reports.

EOY Process: Printer Setup

Please use one of the predefined PASTA print drivers. This takes advantage of the predefined PASTA options in Oracle Applications and ensures an easy setup.

The following table gives a checklist for PASTA print setup activities:

Further information about customizing or registering your printer driver definitions and print options is given in the Oracle Applications System Administrator's Guide.

EOY Processes: Checking Status

When you submit the End of Year EDI process, you can check the status of the other related concurrent processes. Each process produces a log file and an output file, and these are written to the $APPLCSF/$APPLLOG and $APPLCSF/$APPLOUT directories respectively. Further details of these directories are given in the Oracle Applications System Administrator's Guide.

File Name Format

The P60 and Year End Reconciliation report output files can be found in $APPLCSF/$APPLOUT and have the following file name formats:

EOY Processes: Changes to P45 and PAYE Processing

For information on changes to P45 and PAYE processing, see UK Payroll: Changes to P45 and PAYE Processing (January 2007) Resulting from Patch <<5144323>> white paper available on MetaLink (Note ID 405369.1)

P60 Electronic Reports

Employers can now provide a P60 to employees electronically. Oracle HRMS enables you to generate the electronic P60 in addition to the paper-based P60 reports. You can choose to use the electronic P60 or continue using the existing paper based P60 programs. To generate an electronic output or a paper format, you must set your preference within the P60 Output Option in the Tax Details References additional organization information. To set and enable electronic P60 as the default, you must set the value to Electronic for all the tax references valid in your business group. You can also record the employee preference of P60 type at the assignment level using the P60 Output Option assignment level extra information type. You can select Paper, Electronic, or Default. If you set the value to Default or if you do not record the information at the assignment extra information type level, then the application applies the option selected at the tax reference details level.

The existing P60 concurrent programs that generate a paper based P60 include the Restrict by Output Option parameter. This option enables you to restrict the generation of paper based P60 reports to only those assignments that opted for a paper based P60 at assignment level or defaulted to paper based on Tax Details Reference option. Selecting Yes in the Restrict by Output Option generates paper based P60s only for those assignments where the P60 output option is set to Paper, or defaulted to Paper based on the Tax Reference Details Option. Selecting No in the Restrict by Output Option generates the paper based P60s for all the eligible assignments which were archived by the corresponding End of Year process.

You can print the paper based P60 after running the End of Year process as the application picks the values archived to generate the P60. You must submit the new P60 Status process to generate the electronic P60 after running the End of Year process. This program marks the status of the End of Year process as 'Published' to enable the application to generate the electronic P60 using the archived values as eligible for P60 reporting. You must submit this program only when the values are confirmed accurate as archived by the End of Year process and valid to generate any P60s.

Employees can view their P60 reports as PDFs using the employee self-service functionality. Clicking the new P60 function displays the list of tax years for which the employee is eligible to receive the electronic P60. The application displays only those End of Year processes which are marked as 'Published' using the 'P60 Status' concurrent program. Selecting a particular tax year and clicking on View Report renders the P60 for that corresponding tax year in PDF format.

Setting up Electronic P60

To generate an electronic P60, ensure to set up the following:

1. In the Organization window, for Tax Details References, you must set the desired option of P60 for each tax reference valid in that business group.

2. Run the Register EIT concurrent Program to register the P60 Output Option assignment extra information type.

3. Navigate to Security > Information Types Security, query for your responsibility, and add the GB_P60_OUTPUT_OPTION code.

4. Add the function Employee SS P60 Report (PER_P60_SS) to Employee Self service responsibility. This function enables employees to access the electronic P60 report from their Employee Self-Service responsibility.

5. Add the function P60 Employee Search (PER_P60_EMP_SEARCH) to desired Professional User responsibility or Manager Self Service responsibility, to enable you to search for an employee and then view the list of P60s eligible for the employee selected using the Search.

6. Set the HR: Intermediate File Output Storage Folder profile to point to a directory with full Read/Write access from all tiers. This profile is case sensitive. This location is used in the electronic P60 generation process to temporarily store the generated PDF file, before rendering to the user. If this profile is not set, then you cannot view the electronic P60.

Running the End of Year EDI Process

Use the End of Year process to produce your statutory End of Year return to HMRC for employees in your enterprise. The End of Year process has four separate sub-processes. The four processes are:

• End of Year Process - the controlling program

• Year End Multiple Assignments Report

• End of Year Reconciliation Report

• Year End P60 Report

Assignments must not transfer tax district from a UK tax district to a Isle of Man tax district. Oracle does not support the End of Year processing for assignments with an Isle of Man tax district. If you have an IOM assignment in your End of Year Archive, then delete the assignment action(s) from the archive procedure and retry the process.

The End of Year process runs in two modes, Full and Partial allowing you to make partial submissions.

Full End of Year

When you select full EOY mode, the application produces the following output:

• Full details of PAYE, NI, SSP and SMP for all employees. This is written to a .mf file for production of the P14 EDI file that you submit to HMRC.

• A listing which summarizes totals on the full return.

• A Multiple Assignments report showing details of all multiple assignments in the return where earnings are aggregated into one assignment.

Note: You must manually submit the Year End P60 Report process to generate the P60 report. The application does not generate the P60 reports automatically when you use the Full EOY mode.

Partial End of Year

However, whether you choose to submit a single or multiple P14's, each submission will have some Quality Standard validation run against it but full validation will not be completed until you submit all the parts and subsequently submit a single P35 using the Internet service for PAYE.

You can choose to submit each PAYE scheme in several batches of P14's. For example, a company split geographically might choose 'North', 'South', 'East' or 'West' as their part identifiers.

NI Number and Tax Code Validation

Run the 'Invalid NI Numbers Report' and 'Invalid Tax Codes Report' prior to the end of the tax year to identify invalid NI numbers and UK Tax codes within the payroll system. Correct any errors before running the End of Year process as one incorrect P14 record will cause the entire file to be rejected.

Amended Returns

After you return the End of Year Reconciliation report and associated P14 ('s), you can submit changes as an 'Amended' return, for example, where a new employee did not have an initial P14 return. You can choose an assignment set when creating an 'Amended' return.

You only use Amended Returns for entering additional records. You use HMRC website for entering corrections to returns.

Running the EOY EDI Process

You run the process from the Submit Requests window.

To run the End of Year EDI process:

1. In the Name field, select End of Year Process.

2. In the Parameters window, enter the end date for the process using the format 05-APR-YYYY (current tax year).

3. Select the EOY mode you want to run - full or partial listing. The default is Full.

4. Select the Employer PAYE Reference if you are submitting partial P14's.

   Only payrolls in the tax district are included in the return. Leave blank for all payrolls to be included.

5. Enter a Unique ID for this part of the P14.

6. Indicate if the return is Original or Amended.

7. Enter a Unique Test ID if you are running a test for HMRC.

   Note: If you select Y as the EDI Test Indicator, then you must enter the Unique Test ID.

8. Choose an assignment set if required. You cannot use assignment sets if the Return type is set to 'O' and the EDI Test Indicator is 'No'.

   Only use an assignment set in exceptional circumstances such as when the P35 has been completed but many employees were excluded from the previous P14 EDI transmission in error.

Running the Year End Reconciliation Report

Run the Year End Reconciliation Report from the Submit Requests window.

The Year End Reconciliation report shows multiple lines of information for each employee so that you can view SSP/SMP information. The listing also displays details of student loans, outstanding NI arrears and payments for Statutory Paternity Pay (SPP) and Statutory Adoption Pay (SAP).

To run the Year End Reconciliation Report

1. Select the report name from the name field.

2. Select the Archive End Date for which you want to create the report.

3. Choose the Submit button.

Running the Invalid NI Numbers Report

Run the Invalid NI Numbers Report from the Submit Requests window to identify any existing invalid National Insurance numbers within the payroll system.

To run the Invalid NI Numbers Report

1. Select the report name from the name field.

2. Enter the tax year start date for which you want to check National Insurance numbers.

3. Enter the effective date for the report.

4. Enter the Payroll name.

5. Enter a Consolidation Set.

6. Choose the Submit button.

Running the Invalid Tax Codes Report

Run the Invalid Tax Codes Report from the Submit Requests window to identify any existing invalid Tax Codes within the payroll system.

To run the Invalid Tax Codes Report

1. Select the report name from the name field.

2. Enter the tax year start date for which you want to check Tax Codes.

3. Enter the effective date for the report.

4. Enter the Payroll name.

5. Enter a Consolidation Set.

6. Choose the Submit button.

Running the Start of Year Process

This process is normally used at the start of the tax year to update tax information held for each employee. The process performs the following actions:

• Tax Basis: Updates all employees on a Non-Cumulative basis to Cumulative, except D0 codes for employees.

• Previous Taxable Pay and Previous Tax Paid: Clears the values entered for employees for whom a P45 or a P6 was received in the previous tax year.

• Tax Code: Performs blanket changes on employees' tax codes where the employer has been issued with a P9X or P7X tax document to make changes.

  The Inland Revenue P9 document details changes in an employee's Tax Code and Tax Basis. The document can be supplied on paper or on magnetic tape, and the process accepts data from tape.

  The P9X or P7X document issued at the start of each tax year gives the employer the authority to increase or decrease Tax Codes in bulk. The process performs these blanket changes.

• Directors: Where an employee is a Director for NI and the NI Process Type is set to indicate that they became a Director during the tax year, the SOY process (in Start of Year mode) updates the 'Process Type' input value on the 'NI' element as follows:

  • 'Director Pro Rate' to 'Director'

  • 'Director Pro Rate Normal' to 'Director Normal'

  with an effective date of 06-APR-YYYY.

Note: For employees with assignments marked as aggregated for PAYE, you need only apply the tax code change for fhe first assignment. Oracle Payroll then automatically applies the tax code change to all multiple assignments included in the aggregation..

Running the Process

The Start of Year process runs in one of three modes:

• Start of Year: The process performs all the actions above. You run this process before processing your annual P9 EDI file.

• Mid Year Tax Code Uplift: The process performs the blanket tax code changes only. You run this process prior to any P6 EDI file upload.

• Tax Code Uplift from Tape: The process transfers the P9 details from the interface table to your database.

Prerequisites

To run in the Start of Year or Mid Year Tax Code Uplift mode:

• Enter values in the predefined user table TAX_CODE_UPLIFT_VALUE for the UPLIFT_VALUE column:

  • Enter the tax code suffix in the Exact field, and the tax code value in the Value field.

  To run in the Tax Code Uplift from Tape mode:

• Load data from the Inland Revenue P9 tape into the PAY_GB_TAX_CODE_INTERFACE table. The following table gives details of the table structure.

  Column Name	Format	Mandatory
  DISTRICT_NUMBER	NUMBER(3)	Yes
  EMPLOYER_REFERENCE	VARCHAR2(10)	Yes
  NATIONAL_INSURANCE_NUMBER	VARCHAR2(10)	Yes
  TAX_CODE	VARCHAR2(5)	Yes
  NON_CUMULATIVE_FLAG	VARCHAR2(1)	No
  EMPLOYEE_NAME	VARCHAR2(28)	No
  WORKS_NUMBER	VARCHAR2(20)	No
  PROCESSED_FLAG	VARCHAR2(1)	No

All the above columns, apart from PROCESSED_FLAG, are populated from the tape. The PROCESSED_FLAG column is reserved for Start Of Year process use and should be set to NULL on insert.

You must populate this table with the data from the P9 tape and clear down the table after the Start Of Year process has been run. You run the process from the Submit Requests window. See: User Defined Tables, Oracle HRMS Compensation and Benefits Guide

To run the Start of Year process:

1. In the Name field, select Start of Year.

2. In the Parameters window, select the mode.

3. Select the date. The default is the start of the current tax year.

4. Select a payroll if required.

   By default, all payrolls are processed, but you can restrict to a particular payroll.

   On completion, the process produces a report listing the records processed, details of all changes made, and all records rejected by the process, together with reasons.

   The application copies records within a P6/P9 file to the PAY_GB_TAX_CODE_INTERFACE table at the beginning of the SOY process or P6/P9/P6B EDI Upload process and marks them with the concurrent request ID.It subsequently deletes the processed records at the end of the process.

   Note: Rejected records remain in the interface table and you must regularly clean up the interface table.

   To improve run times, you can run the Start of Year process in parallel. This means that you run the process for several different payrolls at the same time. To do this, ask your System Administrator to define a Request Set of Start of Year processes to run in parallel.

   Note: For optimum performance, do not include more than four Start of Year processes in your Request Set.

5. Select the Validate Mode. You can choose from:

   • Validate Only - if you select this validation mode, then the application does not apply updates to the database. However, it enables you to verify the data processed before making updates to live data. This mode generates a report that would be generated without doing actual updates to the live data.

   • Validate and Commit - this is the default value for the validate mode. If you select this mode, then the application generates a report and updates the live data.

Running the Start of Year Resume Process

This process enables Start of Year processing to resume after a deliberate stoppage in mid-run. You can stop a process while it is running either by requesting its cancellation or by terminating the concurrent manager.

The Start of Year process records the processing of each record as it completes. When processing resumes, the system does not need to reprocess previously completed records. It continues only with the records that were previously unprocessed. This applies both to Start of Year Resume and to automatic restarts following a concurrent manager failure.

On completion, the process produces a report listing the following:

• All records processed

• Details of all changes made

• Details of all records rejected, with reasons for the rejections.

You run the Start of Year Resume process from the Submit Requests window.

To run the Start of Year Resume process

1. Select the name of the process. There are no parameters.

2. Choose the Submit button.

Issuing a P45 Form to a Leaver

Run the P45 report from the Submit Requests window for all terminated employees.

To issue a P45 form for a leaver:

1. Select the report name in the Name field.

2. Enter the appropriate archive request ID number in the Parameters window.

   Note: The process automatically archives the final request ID.

3. Optionally enter the assignment number.

4. Choose the Submit button

5. Select the Refresh Data button to update the report processing.

   If no parameters are set, then the report picks up every employee with a status of Terminate who has not yet had a P45 issued. The process first checks for a P45 for another assignment before selecting the employees. The process prints the P45 information on continuous stationery for issue to the tax office and leaver.

Issuing a P45 to a Current Employee

Sometimes you need to send tax returns to different tax offices for an employee working at different sites. In this case you may need to issue a P45 to the second tax office.

To issue a P45 form for a current employee

1. In the Submit Requests window:

   • Run the P45 Alignment report to check the printing alignment of the report. This is optional.

   • Run the P45 report. You can restrict the process by specifying a payroll and/or a time period.

   In the Statutory Details window and P45 window, Oracle Payroll records that you have printed off the P45 for the employee. This does not prevent you from issuing the report again.

Running the P45 Alignment Report

This is a printer alignment report for your sample P45.

You run the P45 Alignment report from the Submit Requests window.

To run the P45 Alignment report

1. In the Name field, select the report name.

2. Choose the Submit button.

Running the DEO Payment Schedule Report

The Court Order DEO Payment Schedule Report includes data for all DEOs being operated by the employer across all three types of DEO. Once these have been submitted to the CMS for the first time, they are included in future schedules issued per PAYE Reference / Employer Reference Number to the employer by CMS.

The Payment Schedule includes the following employee details:

• Employee name.

• National insurance number.

• Employee reference number.

• Summed up value of the normal deduction amount that has been instructed to be taken from the employee over the period for which the process is run.

• Summed up value of actual amount that is being paid to the commission for each individual employee over the given period.

• It includes details of the reason for non-payment of the full amount of the normal deduction rate in cases where this is not deducted and paid over.

All deductions for an individual pertaining to the same DEO Reference Number are grouped together for reporting. It also reports total amount paid to the commission for all employees with a deduction of earnings order for that pay period. You have the option to produce the schedule as a paper report, CSV, or XML file.

Run the report using the Submit Request window.

To run the report

1. In the Name field, enter GB - DEO Payment Schedule 2.

2. Select the Employers PAYE Reference. This is a mandatory parameter and lists all the PAYE References within the business group.

3. Select the payroll. This is a non-mandatory parameter and lists all the payrolls within the selected PAYE Reference.

4. Enter Payment From Date. This is a mandatory parameter.

5. Enter Payment To Date. This is a mandatory parameter.

6. Select the report format. This is a non-mandatory parameter and the default value is XML.

Real Time Information Reporting

Real Time Information Reporting Overview

Oracle HRMS enables employers to meet the Real Time Information (RTI) reporting every time a payment is made to the employee as required by HMRC. As the Real Time Information reporting replaces End of Year reporting and In-Year filing, Oracle HRMS enables you to align employee data with HMRC data. Along with RTI, Oracle HRMS continues supporting P45, P60, and P11D reporting as they are in use.

RTI reporting collects information about tax and other deductions automatically each time you run the payroll. This could be monthly, weekly, or fortnightly. HMRC receives this automatically at the same time as the employees are paid. This reporting process gets information on those joining and leaving employment to HMRC more quickly. For example, RTI enables the date of leaving to be submitted before the final earnings information. A more accurate HRC database reduces queries and the need for recalculations of employee’s tax. Additionally, HMRC receives the full amount payment due from the employer each pay period. RTI reporting means that the following procedures will be simplified or discontinued:

• Issuing a P45 to all employees who leave employment.

• Notifying HMRC of those employees who join.

• Determining a tax code by requiring new employees to complete a P45.

• Submitting end of year P14, P35 and P38A returns to HMRC.

To meet RTI reporting requirements, you can submit the following outgoing and receive the incoming EDI messages:

Outgoing

• Employer Alignment Submission

• Full Payment Submission

• Employer Payment Summary

• NINO Verification Request

Incoming

• NINO Verification Reply

Employer Alignment Submission (EAS) – the process for ensuring all employer data relating to employees matches the data held by HMRC. It is a process that must be done prior to migrating to RTI. It may need to be run a number of times prior to the employer migrating to RTI, but will not be required once the employer has moved over to RTI as data cleansing will be complete before this happens. Ensure that you include all current employees in your PAYE scheme along with all employees who left in the current tax year. You must not include any employee who left in the previous tax year even if payment is made in this year (these are included in the first FPS). This submission must be at PAYE Scheme level.

Full Payment Submission (FPS) – to be submitted to HMRC each time the employer makes a payment to an employee. It picks up data relating to the payments processed for the relevant period for the PAYE scheme. A number of scenarios have been published by HMRC to demonstrate what values need to be reported under different circumstances. The data relates to ‘employment’ within the PAYE and as such all payments and deductions are reported as this period and year to date figures. You can submit this after submitting the EAS. HMRC uses this to update their records with the YTD values for your employees. You must submit this on or before the date of payment to your employees. You can send it per Payroll within the PAYE Scheme if required. Additionally, this submission includes any company declaration details if PAYE Scheme has ceased and End of Tax year FPS. The first FPS that you submit includes:

• All employees reported on the Employer Alignment Submission (EAS).

• Plus any new starters since you submitted the EAS.

• Plus all employees who have been paid this tax year (includes all those leavers in the last tax year if they had a payment after leaving).

The subsequent FPS includes all employees that have been paid in the period being reported.

Employer Payment Summary (EPS) – can be submitted where the employer needs to notify HMRC of adjustments to their overall liability. If the EPS is not submitted, then the values determined from the regular FPS submission are expected to be paid over by HMRC. Employers can make adjustments to the overall employer-level amounts due (the total PAYE / NI, which should have been paid to HMRC to cover all individual employee-level amounts). Amounts which the employer is entitled to recover for payments of SMP / ASPP and also for NIC compensation relating to statutory payments, can also be submitted via the EPS. In addition, a final declaration to be made relating to values to be reported at the end of year is covered by this EDI message. This is an optional EDI file to be submitted for the tax period. Additionally, this file includes any company declaration details.

NINO Verification Request (NVREQ) – an ad-hoc process which allows employers to request either a validation of existing NI numbers for employees or obtain a valid NINO for new employees. HMRC sends an acknowledgement file with a correlation ID (in case employers want to stamp the employee record for audit purposes) and then follows up by sending the verified or new NI number via the (incoming) NINO Verification Reply message.

NINO Verification Reply (NVREP) – this is a message from HMRC notifying the NI number to be used for the employee. The NVREQ message can be either a response to a NI number Verification Request (NVREQ) from the employer, or as a result of an incorrect / missing NI number on the FPS or EAS submission. Contains the NINO to be used and indicates the action to be taken by the employer. Employers must update their employee records and report this notified NI number for future submissions.

Changes to BACS Process due to RTI Reporting

If you pay your employees via BACS, then the RTI data forms part of the BACS submission. The data is submitted at the same time as the employees’ salary payment details. The BACS payment file record ‘Standard 18 Record Format’ includes a four digit random ‘reference’ number as stipulated by the RTI requirements from HMRC. As a result, the BACS file creation process in Oracle HRMS includes the random number which in turn is referenced in the FPS employee/assignment record to generate the ‘HASH’ field for the relevant record.

The BACS record is in the following format: 1108010057846309940012171367706//9V00000138028ACME LTD 705365 MISS E EMPLOYEE

Where ‘//9V’ is the random reference number generated for the payment record. Oracle HRMS generates the random number only for the BACS record with highest amount being paid where an employee has multiple payment lines. This field is blank for the other payment records for the employee. This is as per the requirements of FPS Hash as dictated by HMRC.

Note: The HASH itself is on the FPS record for the relevant employment record and not the BACS record as explained above.

Oracle HRMS enables you to use the pre or post RTI BACS file creation process to ensure that if you are not on RTI as yet, then you are not impacted by the changes introduced for RTI within the BACS file. You can continue to use the existing BACS file creation functionality that does not generate the random number which is required to accommodate the HASHing requirement within RTI. Additionally, if you are migrating your PAYE schemes in batches, then you have the option for the non-RTI PAYE schemes. You can use the RTI Uptake profile option for this purpose along with the RTI Uptake configuration type that enables you to migrate your PAYE Schemes all at once or in batches.

See: User Profiles topic in Oracle HRMS Configuring, Reporting, and System Administration Guide and Mapping Existing Data for RTI

For further details about RTI Reporting, see My Oracle Support Note 1324671.1

Secondary Classifications and Balances for RTI Reporting

Where ever possible, RTI reporting uses the current application payroll balances. However, as the RTI information goes beyond the End Of Year reporting (currently P14), the following secondary classifications and classification balances are available. You can attach elements that are already in use to the classifications to establish the feeds to these balances so that the relevant figures needed for RTI reporting are picked up.

The following tables show the secondary classifications, elements, and their balances available for RTI:

P60 and RTI

After migrating to RTI, use the following P60 processes to generate the P60:

• RTI - P60 Archive Process (selects all eligible employees – like the non-RTI end of year process)

• RTI – Year End P60 Report Process (uses the archive chosen to generate the P60 report)

• RTI – P60 Status (same as existing process but for RTI customers only and for those using eP60 option)

Note: The RTI P60 Generation logic has no dependency on whether FPS Final Submission is made or not.

P6/P9 for RTI

For RTI users, HMRC refers to the Payroll ID instead of Works Number in any incoming files to employers and therefore sends that in place of the Works Number. Hence, the P6/P9 update process checks if it is being run for RTI PAYE as it needs to match on the RTI Payroll ID instead of Works Number. There is no separate process for RTI users as the checks are made internally within the existing process to determine what to use for matching the assignments. The following apply to all RTI users running the P6/P9 process:

• You must ensure that the RTI Uptake profile is set to either Full or Partial. When the P6/P9 process runs, the following applies:

  • ‘Partial’ only picks up RTI Payroll ID for the PAYE’s configured in the Configuration Module

  • ‘Full’ picks up RTI ID for all the PAYE’s within the business group.

  • When Aggregation is in place for assignments, the process updates the information received in the P6/P9 file as follows:

    • PAYE aggregation – updates all assignments.

    • NI Only aggregation – updates only those assignments with the RTI Payroll ID match.

• If PAYE aggregation exists and the RTI Payroll ID is not the same across the aggregated assignments (or null against any assignment), then the process raises an error. You must examine and correct the information on RTI Payroll ID before processing the record again.

• For RTI customers, HMRC does:

  • Not supply works number in the field ATT2 / 19 of the MOVDED record.

  • Instead, it supplies the RTI Payroll ID (as defined within Oracle HMRS).

• You must ensure that the RTI Payroll ID is present on all assignments as follows:

  • Run the Populate RTI Payroll ID with Assignment Number process. See: Running the Populate RTI Payroll ID with Assignment Number

  • For PAYE aggregation, if you change the RTI Payroll ID manually, then ensure that it is the same across all the aggregated assignments.

End of Year on RTI

If you have migrated to RTI reporting, then note the following:

• There are no P14 returns for RTI users.

• Running the ‘Final’ FPS indicates to HMRC that this is an EOY submission.

• You can send FPS Final Submission multiple times as required until 19th April

• For most employers, the final Full Payment Submission (FPS) return is made on or before 5th April when you make the final payment of earnings for the tax year.

• You should indicate that this is your ‘final submission for year’ through the FPS. However, if you discover on or before the 19th April, following the end of the tax year, that you need to make any amendments or corrections to the information reported you can submit an additional FPS. You must indicate on your amended FPS that this is your ‘final submission for year’. If you have to make any amendments or corrections on or after 20th April, you need to complete an Earlier Year Update (EYU). This is the procedure for the end of the tax year only. Within the year, you can make corrections to an FPS by sending a corrected FPS.

• The ‘Final FPS’ indicator lets HMRC know that the employer has completed their submissions for the year. You must report this on the last FPS that you submit which does not include all employees who have been reported during the tax year, but only contains records for employees who have a payment to be reported in this final run. It may be that the last FPS is reporting only a very small number of payments (if this is a supplementary run after the last main payroll of the tax year).

• If the Final Submission option is set on the process parameter for EPS and/or FPS, then you must complete the Declaration parameters, otherwise HMRC rejects the file.

• After 19 April 19, use the Earlier Year Update (EYU) message to send amendments to employee values for the previous tax year.

• Any FPS submission which is for a process in the new tax year (the payroll run / balance adjustment process is on or after 6 April), then you must use the new FPS process for 2013/14. You must run the EPS also for the appropriate year that the payments relate to in the same manner as the FPS. You must run the EPS for any EYU submission that would affect the Statutory Payments Recovery and NI Compensation values.

• Oracle HRMS provides a new version of the EDI message types for RTI for each tax year. For the 2012/13 tax year, the EPS message type is ‘EPS’ and the EYU message type is ‘EYU13’. Regardless of the date of submission, if you want to update figures for the 2012/13 tax year, they you must use ‘EYU13’ and ‘EPS’ as required. For the 2013/14 tax year, there is an ‘EPS14’ and ‘EYU14’. Use these to adjust the 2013/14 tax year values. So, if you discover in May 2014 that you need to adjust figures for 2012/13, then you can still use ‘EYU13’ and ‘EPS’.

• To generate P60, you must run the RTI P60 process. See: P60 and RTI

• There is no change to running the P11D processes for RTI users and you must follow the existing processes.

• There are no changes to Start Of Year for RTI users and you must follow the normal processes for SOY.

• Upload P6/P9 by running the existing process. For RTI users, this process determines whether to use RTI Payroll ID to match the records depending on the RTI Uptake profile value. See: P6/P9 and RTI

Setting up Real Time Information Reporting

To meet RTI reporting requirements, you must ensure that the following are set up:

1. Register the following extra information types (EITs) and assign them to your responsibility:

   • RTI Information (Table Name parameter value while registering is PER_ASSIGNMENT_INFO_TYPES and code while assigning to responsibility is GB_PAY_RTI )

   • RTI New Starter Information (Table Name parameter value while registering is PER_ASSIGNMENT_INFO_TYPES and code while assigning to responsibility is GB_RTI_ASG_DETAILS)

   • RTI Assignment Aggregation (Table Name parameter value while registering is PER_ASSIGNMENT_INFO_TYPES and code while assigning to responsibility is GB_RTI_AGGREGATION)

   • Real Time Information - NINO Verification (Table Name parameter value while registering is PER_PEOPLE_INFO_TYPES and code while assigning to responsibility is RTI_NINO)

   See: Running the Register Extra Information Types (EITs) Process and Setting Up Extra Information Types for a Responsibility in Oracle HRMS Configuring, Reporting, and System Administration Guide

2. Ensure you have the Employer Office Reference Number to enter it in the Tax Reference Details organization EIT.

3. Ensure that all PAYE references are available within the application as RTI is submitted per PAYE.

4. Passport number is the optional data item required for RTI. If this is available, then map it using the configuration values module type ‘Passport Number’. If you are using the Documents of Reference functionality, then ensure that the document type is ‘passport’ and the document number is the Passport Number. The FPS process picks up the passport number from this field, if present.

5. If your employees have valid NI numbers that have been in use as verified by HMRC, then you may want to run the Pre-RTI NINO Verification process to set the ‘NINO verified’ flag as a mass update. This prevents the NINO Verification request process from picking up all the employees un-necessarily when you run it for the first time.

   See: Running the Pre-RTI NINO Verification Process

6. Examine your pay or information elements to deduce if they belong to any of the items listed for reporting in the mapping of the EDI fields and allocate them to the additional new secondary classification introduced as part of the RTI functionality. This ensures that the (new) balances being reported on FPS and EAS have the correct value.

   See: Appendix A – Mapping of EDI fields in RTI_Whitepaper_Version_5.8_Feb_13 (My Oracle Support Note: 1324671.1).

7. Creation of the Employer Payment Summary EDI requires you to submit the values for verification to an ‘Approver’ who can then ‘verify’ that the EPS record is correct and ready for EDI. Ensure that you have approvers notification set up using workflow to the appropriate individuals so that they get the notifications to approve and verify the EPS record. The EDI process does not pick up any records that have not been verified (status should be ‘Verified’). If you wish not to use the approver functionality, then you must ensure that the ‘RTI Employer Payment Summary approval process required’ profile option is switched off by setting the value to No; the default is Yes.

8. You must run the one-time process called ‘RTI Payroll ID Defaulting’ to ensure that this attribute on the new ‘RTI Aggregation’ tab is populated for your existing employees. The EAS, FPS, and NINO processes pick up this field value. It is not necessary to populate this field on an on-going basis and is a one-time uptake procedure only. For further details on this process, see Running the Populate RTI Payroll ID with Assignment Number Process

9. To uptake the RTI option of reporting, you must set the RTI Uptake profile option with an applicable value. See: User Profiles, Oracle HRMS Configuring, Reporting, and System Administration Guide. Additionally, you need to provide values for the configuration type RTI Uptake depending on the value set for the profile option.

10. Once you are on RTI, ensure that you enter all new starter information using the new RTI tab only. You must not use the other original pre-RTI tabs namely, New Starter, P46 Pension Notification, and P46 (EXPAT) Notification, for those PAYE schemes on RTI, as RTI reporting does not pick up information from these tabs.

11. Enter RTI aggregation information. See: Entering RTI Aggregation Information

12. Record RTI specific data using the assignment and person extra information types.

13. Attach existing elements to the RTI related secondary classifications to establish the feeds to the RTI related balances so that RTI reporting can pick up the relevant figures. The application reports these balances on the RTI Full Payment Submission records.

14. Additionally, set up your own elements that are deemed as Trivial Commutation Payments and the Payment Type for the following balances:

    • Trivial Commutation Type A

    • Trivial Commutation Type B

    • Trivial Commutation Type C

    If there is any value in the balances above, then the FPS process reports these in the FPS employment record section in pairs of type and value. It reports up to three iterations (one per type).

15. Map existing data using the configuration module if data required for RTI is available in your system and if you are migrating partially (staged approach for groups of PAYE Schemes). Additionally, you can choose the correct BACS process (with or without HASHing field). See: Mapping Existing Data for RTI

16. Run the following RTI processes to generate the RTI archive and output EDI files:

    Pre RTI Migration

    • Run the Populate RTI Payroll ID with Assignment Number Process

    • Run the Pre-RTI NINO Verification Process

    At the time of Migration

    • Run the Employer Alignment Submission Process (EAS)

    • Roll Back EAS

    Post RTI Migration

    • Run the Create EPS Payment Values

    • Run the Employer Payment Summary Process (EPS)

    • Run the Employer Payment Summary Reset Status

    • Run the Earlier Year Update Process

    • Run the Full Payment Submission Process (FPS)

    • Run the Full Payment Submission Output

    • Run the Full Payment Submission Rollback

    • Run the NINO Verification Request Process (NVREQ)

    • Run the NINO Verification Reply Upload Process (NVREP)

    • P60 and RTI

    • P6/P9 and RTI

    • End of Year for RTI

17. Submit the RTI messages. All the RTI EDI message files are produced as GFF (Generic Flat File) format which is the same as the current EDI for End of Year and In-Year filing messages supported by Oracle application. You must submit the messages using the same process that is in place for current EDI messages, however, HMRC will not accept these messages if you have not registered with HMRC for RTI. See Changes to BACS in Real Time Information Reporting in Real Time Information Reporting Overview

Entering New Starter Information for RTI

Oracle HRMS enables you to record the new starter information for RTI reporting. Use the New Starter (RTI) tab on the Statutory Details window. This tab combines the information for starters that is currently held in the current New Starter and P46 tabs. If you are on RTI, then you must use this tab to input the relevant data instead of the current practice of using the New Starter and P46 tabs. The New Starter RTI tab is for input of new starter declaration, pension amount, and expat information only. You must enter the P45 information using the PAYE details tab and any NI information the NI details tab. RTI reporting uses information from the PAYE details and NI details tabs. After you migrate to RTI, the following tabs will become redundant and RTI reporting does not use any information recorded in the tabs:

• New Starter

• P46 Pension Notification

• P46(EXPAT) Notification

The New Starter (RTI) tab displays three sections which represent starter information being brought in by an employee, an ex-pat, or a pensioner. This tab combines the three types of starters’ information that you need to file new starters using RTI.

To enter new starter information for RTI

1. Query the employee assignment and choose the Tax Information button.

2. Click the New Starter (RTI) tab.

3. In the New Starter section, the RTI Sent check box is automatically checked after you have run the FPS process to indicate that the starter information has been sent to HMRC. You can manually select it too. The record is not re-sent in subsequent FPS process. This is the same as the current new starter in-year filing (pre-RTI) process behavior.

4. As new starter declaration, enter what type of starter this person is where a P46 is sent. Choose from a list of values as follows:

   • A for First Job since 6th April

   • B for Only job currently

   • C for Have another job or pension

5. Select the Continue with Student Loan check box as required for continuing with student loan deductions.

6. In the Pensioner section, the RTI Sent check box is automatically checked after the FPS process has been run to indicate that the pensioner information has been sent to HMRC. You can select it manually too. The record is not re-sent in subsequent FPS process. This is the same as the current new starter in-year filing (pre-RTI) process behaviour.

7. Enter the date when the pension started. The RTI reporting process sends the starter declaration for the pensioner from the date the pension started.

8. Enter the annual pension.

9. Do not enter starter declaration but specify if the pensioner is in receipt of occupational pension.

10. In the EXPAT section, the RTI Sent check box is automatically checked after the FPS process has been run to indicate that the Expat information has been sent to HMRC. You can select it manually too. The record is not re-sent in subsequent FPS process. This is the same as the current new starter in-year filing (pre-RTI) process behaviour.

11. Do not enter the starter declaration but select the expat P46 statement from the following:

    • A Intension to live in the UK for more than six months.

    • B Intension to live in the UK for less than Six months.

    • C Living abroad, intend to work both inside and outside UK.

12. Select the EEA/Commonwealth Citizen check box as required.

13. Select the EPM6 (Modified Scheme) check box as required.

14. Enter the start date of employment in the United Kingdom.

15. Select the Continue with Student Loan check box as required for continuing with student loan deductions.

    Note: Regarding the RTI Sent check box:

    • Whenever EAS process is run, the process selects the RTI Sent check box in the New starter section within the New starter (RTI) tab for all the employees picked up by the EAS process.

    • For new hires created after EAS process, whenever FPS process is run, the process would report the error message "Starter Declaration is Missing" if you have not entered the required data on the corresponding blocks (New Starter, Pensioner, EXPAT) in New Starter(RTI) tab.

    • If you have entered the data prior to running the FPS process, then the process would not report the error; instead it processes the assignment and checks the corresponding RTI Sent check box and reports the relevant values on FPS EDI.

    • If EAS process is rolled back, then the roll back process deselects the RTI Sent check box selected earlier by the EAS program.

    • If FPS process is rolled back, then the roll back process deselects the RTI Sent check box selected earlier by the FPS program.

Entering RTI Aggregation Information

Oracle HRMS enables you to enter data required for aggregation of PAYE and NI by RTI reporting. The Full Payment Submission requires this data for processing aggregated assignments. Use the RTI Aggregation tab on the Statutory Details window.

To enter RTI aggregation information

1. Query the employee assignment and choose the Tax Information button.

2. Click the RTI Aggregation tab.

3. Select the RTI NI Reporting Assignment check box where there is aggregation for NI only, to indicate the assignment record used to pick up the NI YTD values for reporting in the NI section of the FPS employment record.

4. For NI aggregation, there are multiple employment records output to ensure that the reporting of FPS record is a per HMRC expectation. This check box is not relevant for those assignments that are set for PAYE and NI aggregation as RTI reporting process treats these assignments as one record and output as a single employment record.

   Note: The RTI NI Reporting Assignment check box is enabled only when the NI Multiple Assignments check box is selected (this indicates NI only aggregation).

   The Effective Date field becomes mandatory after you select the RTI NI Reporting Assignment check box.

   You must change the RTI NI Reporting Assignment check box only if the assignment that was the reporting assignment for NI, is terminated. In this case, ensure that you select this check box on the new or different assignment as appropriate.

5. Enter the effective date to enable the RTI Reporting Assignment check box to be date tracked as the information here is not date tracked as a rule.

   Note: At the time of migration to RTI, the process that populates the RTI NI Reporting Assignment check box sets the effective date to the start of the current tax year (06-April-yyyyy).

6. The application populates the RTI Payroll ID and the effective dates as follows:

   • Defaults to primary assignment number if the PAYE Aggregated Assignments check box is selected.

   • Defaults to assignment number of each assignment if the PAYE Aggregated Assignments check box is not selected.

   Ensure that you run the Populate RTI Payroll ID with Assignment Number concurrent program to enable the application to populate the Payroll ID Effective Start Date and Payroll ID Effective End Date with the appropriate values. The application sets the effective start date to the hire date of the assignment and the effective end date to end of time (31-DEC-4712). The effective dates ensure that the track history is maintained for NI Reporting flag along with RTI Payroll ID. If the payroll ID is changed for any reason, then all assignments aggregated for PAYE must be updated with the same RTI Payroll ID. This number assists in identifying the person’s ID for RTI purposes. RTI reporting process use the RTI Payroll ID for reporting the payroll ID fields on the RTI EDI files sent to HMRC. Additionally, the FPS process uses this ID to report employment records as one per payroll ID in cases of aggregation of NI.

   Note: Use the Populate Payroll IDs concurrent program to populate the payroll IDs if you are already on the previous version of RTI (first Pilot customers. You must run this program to ensure that the payroll ID’s are correctly updated as assignment numbers for non-aggregated assignments. See: Running the Populate RTI Payroll ID with Assignment Number Process

Mapping Existing Data for RTI

Some data items required by RTI may already exist within your Oracle HRMS application. RTI reporting process can use and report these data items. You can map your existing data that RTI requires using the configuration types within the Real Time Information configuration module in the Configuration Values page.

You do not need to configure the following items if you are using the RTI Information assignment extra information type:

• Number of Periods Covered

• Irregular Employment

• One-Off Payment

• Normal Hours Band (Hours Worked listed above)

• Receiving Occupational Pension

• Ex Pat

• Payment to Non-Individual

• On Strike

• Unpaid Absence

This module is only for mapping the above information if you have it stored already in your own placeholders. The configuration module mapping ensures that the data is picked up from your placeholders and not from the RTI Information EIT.

If you are using the standard Oracle functionality of Documents Of Record to hold passport information, then you do not need to configure this item as this RTI processes pick up this information automatically. However, if you have stored passport number elsewhere using your own flexfield, then map it using the Employee Details – Passport Number configuration type.

The following configuration types are predefined:

• Employee Hours – The mapping is entirely optional as the RTI processes pick up the hours from assignment normal hours or if the RTI Information assignment EIT has a Normal Hours band value specified, if the configuration is not present.

• Irregular Payment - The mapping is entirely optional as the RTI processes pick up the Indicator from the Irregular Payment value specified in the RTI Information assignment EIT, if the configuration is not present.

• Number of Periods Covered - The mapping is entirely optional as the RTI processes pick up the Indicator from the Number Of Periods Covered value specified in the RTI Information assignment EIT, if the configuration is not present.

• One-Off Payment - The mapping is entirely optional as the RTI processes pick up the Indicator from the On-Off Payment value specified in the RTI Information assignment EIT, if the configuration is not present. If you are using the User Function option, then note the following:

  • Provide the inputs of ‘assignment_id’ and ‘effective_date’ for the function to work.

  • Ensure that the user function returns the appropriate values as expected by the relevant data item (for example, for Flags the value ‘Y’ should be returned; for Hours Worked the value of total number of hours should be returned).

  • FPS picks up the FF and executes it to return the value expected for the EDI field in question.

• Passport Number - The mapping is entirely optional as the RTI processes pick up the passport number from Documents of Records if used or configuration value mapping. The passport number is an optional field to be reported for RTI and is left blank if not present anywhere.

• RTI Uptake – Use this configuration type if you have multiple PAYE Schemes and need to migrate to RTI in a phased manner. This configuration type ensures the following:

  • Differentiates between the BACS process to be used (Post or PRE) as the post RTI BACS process has been changed to include the random number field on the BACS record.

  • Allows Oracle users with a multiple number of PAYE schemes with large population of employees to migrate in a phased manner (this must be agreed first with HMRC).

  • Removes the need for Oracle users to choose the pre and post RTI BACS process to be utilised and prevent serious issues on employee payment through BACS.

  In order to take up RTI for PAYE Schemes, you must set up the schemes on this configuration type. Mapping the schemes ensures that the schemes are processed for RTI BACS correctly. This configuration type is optional but you must use it in conjunction with the RTI Uptake profile option as follows:

  • If profile value is None – no need to set configuration value here as the application uses the Pre-RTI version BACS process without generating the random number.

  • If profile value is All – no need to set configuration value here as the application uses Pre-RTI version BACS process that generates the random number.

  • If the profile value is Partial – set this configuration type for each of the PAYE Schemes that are migrating to RTI.

  The effective date is the date on which the PAYE Reference is going over to RTI. The RTI functionality checks this date and decides which BACS process needs to be used for the given PAYE Reference. You can create multiple configuration types one for each PAYE in question with its own effective date. For any PAYE scheme reference that does not have a configuration type set up when the profile value is Partial, then the application uses the Pre-RTI BACS process for these schemes.

To map your existing data to the required configuration type

1. Navigate to the Configuration Values page through Other Definitions > Configurations Values.

2. Query the Real Time Configuration using the search icon next to the Module Name field and select it from the Search page.

3. Select the applicable configuration type and click Add Configuration Values.

4. In the Add Configuration Values page for the selected configuration type, enter the following details:

   • Source - Identify the placeholder source, for example an extra information type, descriptive flexfield, or function.

   • Context Name - The application populates the list of values with the context names of the source specified and you can select as required.

   • Segment Column - If the source is an EIT or DFF, then specify the segment column that holds the applicable value.

   • User Function Name - If the source specified is a function, then select the function name from the list of values.

5. Click Apply.

Updating the National Insurance Category

Use the RTI GB Update NI Category program to update the national insurance (NI) categories for employees who are under 21 years old (as of 6th April 2015) and for employees over 21 but having new categories. Run this program before running the payroll to ensure that the NI categories are updated as expected.

To run the RTI GB Update NI Category program

1. Navigate to the Submit Request window and find the program.

2. Enter the following parameters:

   • Effective Date: Default is set to: 6-APR-2015.

   • Employer PAYE Reference: Lists all the PAYE references in the relevant business group.

   • Payroll Name (optional): Lists all payrolls within the PAYE reference.

   • Assignment Set (optional)

   • Mode: The default value is Validate Only - Updates Not Applied To The Database. If you run the report with the default value, then the application generates the required details for the user to validate the details without committing the data to the database. If you run the report in ‘Validate and Commit’ mode, then the application generates the effective date details for you to validate and then commits the changes to the database. If the program finds an existing future date track update present on the NI element, then it displays an error message and does not update the NI category.

Running the Populate RTI Payroll ID with Assignment Number Process

If you are migrating to RTI functionality, then you need to populate the RTI Payroll ID field for your existing employees. The application defaults the payroll ID for all new employee assignments once the RTI functionality is implemented, however, prior to RTI migration, you must populate the payroll ID for all existing employee assignments to ensure that all the payroll ID’s are in place for RTI reporting. Use the Populate RTI Payroll ID with Assignment Number to populate the RTI Payroll ID with either:

• Assignment number as is (for non-aggregated assignments).

• Primary assignment number for PAYE aggregated assignments.

This is a one-time process that you must run to ensure the existing assignments have this field populated correctly. All subsequent assignments started after RTI migration default to the appropriate assignment number taking aggregation type into account automatically. Use the Submit Request window.

To run the Populate RTI Payroll ID with Assignment Number process

1. Select Populate RTI Payroll ID with Assignment Number in the Name field.

2. Enter the following parameters:

   • PAYE Ref num – Select from the list of PAYE reference numbers in the organization.

   • Effective Date – Enter a date from which you want all employees to be picked up. This would normally be the date RTI was implemented as Live to ensure that all employees are picked up.

Running the Pre – RTI – NINO Verification Process

Oracle HRMS prevents you from sending NINO verification requests to HMRC where the NI numbers for the payroll population have been deemed as ‘verified’ because they have been in use prior to RTI and therefore correct. To stop existing (Pre-RTI) verified NI numbers being included in the NVREQ EDI file, you must run this process to check the verified flag.

Use the Submit Request window.

To run the Pre - RTI - NINO Verification process

1. Select Pre - RTI - NINO Verification in the Name field.

2. Enter the following parameters:

   • Employers PAYE Reference – Optionally, select from the list of PAYE references in the organization.

   • Effective Date – Enter a date from which you want all employees to be picked up. This process sets all employees who are ‘active’ at this date to ‘Pre-RTI’ verified status. This process does not select any employees who have not started but are in the system (future starters) and any employee that was not an active employee at this date (if date entered is before the current system date e.g. date today = 01-Jan-2012 and effective date entered is 30-Nov-2011 then this process excludes the employees started between 01-Dec to 01-Jan-2012).

   • Payroll – Optionally, select from the list of all the payrolls within PAYE reference chosen. If you do not select a payroll, then the process selects all payrolls within the PAYE reference. If a person has multiple assignments, then run the concurrent program with the PAYE reference of the primary assignment.

   Upon completion of this process, it generates an output report indicating any NI numbers that are missing and a total of NI numbers flagged as ‘verified’. Additionally, the process updates the NINO Verified field on the RTI NINO person EIT for all the employees processed with the value ‘Yes – Pre-RTI’.

Running the Earlier Year Update Process

Oracle HRMS enables you to make further amendments to the updates relating to the updates relating to the previous tax year after completing and returning the end of year submissions for the current year. This process enables you to submit an earlier year update as HMRC does not accept any further FPS submissions for the previous tax year after 19th April. The process generates the EDI file for submission to HMRC.

Use the Submit Request window.

To run the EYU 2012/13 process

1. Select RTI – Earlier Year Update Process (EYU) 2012/13 in the Name field.

2. Enter the following parameters:

   • Employers PAYE Reference – Select from the list of PAYE references in the organization. The EYU process uses this parameter to report all amendments made for all employees within the PAYE Reference and processes limited set of employees and new hires that have amendments only.

   • Effective Date – Enter the date on which the process is being run (starting from 20th April), so if you are running the process currently, then enter the current date (for example 29 April 2013). For the next EYU being submitted after this, it should be 29th April or any date after 29th April (after the last current date).

   • Test Submission – Select Yes if it is a test submission to HMRC. Default value is No.

To run the EYU 2013/14 process

1. Select RTI – Earlier Year Update Process (EYU) 2013/14 in the Name field.

2. Apart from the parameters of the 2012/13 EYU process, enter the following:

   • Submission Mode – Select XML to generate XML version of the EYU file or select EDI to generate the EDI version. The default value is EDI.

   • Gateway Test Indicator – Select Yes to indicate test in live or select No. Default value is No.

   • XML Storage Type – Select storage type as file system or database. The application enables this field when the submission mode is XML. Default value is File System.

     Note: If you submit an EYU where the amendments affect the statutory payments, then you must submit a corresponding EPS to inform HMRC of the change in liability where applicable.

     Where multiple EYUs are processed, the EYU takes into account values submitted in an earlier EYU and therefore these are not re-submitted.

     If the EYU is affecting any changes to the employer liability due to the amendments to statutory payments, then you must submit an EYU related to the tax year in question.

   Rolling Back EYU

   To re-run the EYU process, use the GB Rollback Process, See: Rolling Back EAS

To run the EYU 2015/16 process

Use this process for the tax year 2015/16.

1. Select RTI – Earlier Year Update Process (EYU) 2015/16 in the Name field.

2. In addition to the parameters of the 2013/14 EYU process, enter the following data:

   Field Name	Description
   Test Submission	Select whether you want the process to run as a test submission.
   Submission Mode	Select XML to generate XML version of the EYU file or select EDI to generate the EDI version. The default value is EDI.
   Gateway Test Indicator	Select Yes to indicate test in live or select No. Default value is No.
   XML Storage Type	Select storage type as file system or database. The application enables this field when the submission mode is XML. Default value is File System. Note: If you submit an EYU where the amendments affect the statutory payments, then you must submit a corresponding EPS to inform HMRC of the change in liability where applicable. Where multiple EYUs are processed, the EYU takes into account values submitted in an earlier EYU and therefore these are not re-submitted. If the EYU is affecting any changes to the employer liability due to the amendments to statutory payments, then you must submit an EYU related to the tax year in question.

3. Click OK.

Running the Earlier Year Update (EYU) Reconciliation Report

Run the Earlier Year Update Reconciliation Report from the Submit Requests window. The output from this process and the subsequent EYU/ EDI process produces a .pdf output report showing the following employee and assignment data:

• One page per assignment/employee showing all the relevant data for this run and year-to-date (YTD) values.

• Summary totals page to show all this run and YTD totals needed for reconciliation.

To run the Earlier Year Update Reconciliation Report

1. Navigate to the Submit Request window.

2. In the Name field, select RTI EYU Run Reconciliation Report.

3. Select the archive request ID of the EYU process for which you want to create the report.

4. Click the Submit button.

Running the Employer Alignment Submission Process (EAS)

Prior to RTI migration, you can align your employee data with that held with HMRC using this process. This process enables you to create and submit an alignment report.

The EAS process picks up all employees within the PAYE for the requested tax year if:

• They are active or were active during the tax year in question.

• Picks up all starters and leavers in the tax year.

It does not pick up any employees who have left in the previous tax year as they are not considered active employees within the current tax year. However, these employees are picked up in the first FPS that follows, as they are considered as having a payment in the tax year.

This process creates one employment record for each assignment provided that they are not aggregated. If they are aggregated for PAYE and NI, then there is one record output with the aggregated values. If they are aggregated for NI only, then this process reports the assignments separately. If P45 is issued, then this process considers the person as ‘left’, hence the date of leaving is that of the assignment. For aggregated assignments, the Continuous Period of Employment (CPE) start and end dates are reported as P45 is not issued if one of the aggregated assignments is terminated due to it being part of the same employment.

You can submit the Employer Alignment Submission in ‘parts’ from April 2013 if you are operating your PAYE scheme through different vendors, or choose to send in data for alignment in logical ‘chunks’.

Use the Submit Request window.

To run the EAS process 2013/14

1. Select RTI – Employer Alignment Submission Process (EAS) 2013/14 in the name field.

2. Enter the following parameters:

   • Employers PAYE Reference – Select from the list of all the PAYE references within the organization. This is a mandatory parameter.

   • Effective Date – This date determines the tax year for which the EAS data is to be extracted. The effective date must be the date of the RTI migration. For example, if the RTI migration date is agreed with HMRC as February 2013, then this date must be 01-Feb-2013. If the migration date is agreed as the 1st period in the new tax year and this payroll period spans both tax years (a 4 weekly payroll with dates of 30th March to 26th April 2013), then enter the date as 06-April-2013 to filter out any previous year starters and leavers. The EAS process picks up all the employees current at this date. Additionally, as the process uses this date to derive the start of the tax year it picks up the starters and leavers in the relevant tax year. This is a mandatory parameter.

   • Number of Parts - Mandatory parameter, with default value set to 1.

   • Unique Part Identifier - Not mandatory but you must enter the value if Number of Parts parameter is more than 1. This is the payroll unique identifier set up on the payroll if used. It is only enabled if the Number of Parts parameter is more than 1. The Number of Parts and Unique Part Identifier parameters allow part submission of EAS which enables employers to send separate EAS files in ‘parts’ with same PAYE reference at different times.

   • Test Submission – Optionally, select Yes to send a test EAS message file. For Live files, default value is always No.

To run the EAS process Pre 06 April 13

Run the Employer Alignment Submission Process Pre 06 April 13 process for tax year 2012/13.

1. Select RTI – Employer Alignment Submission Process Pre 06 April 13 in the Name field.

2. Enter the employers PAYE reference, effective date, and specify whether it is a test submission or not as parameters.

Rolling Back Employer Alignment Submission

Once you run the Employer Alignment Submission (EAS), the application sets the RTI value for the employees so that these new starts are not picked up again. Therefore, to re-run the EAS, you must roll it back. The rollback unsets the RTI value to ensure that when you re-run the EAS, it includes all employees.

Use the Submit Request window.

To rollback EAS

1. Select GB Rollback in the Name field.

2. Enter the following parameters:

   • Year – Enter the year for which you want to rollback the EAS.

   • Process Type – Select Magnetic Reports as the payroll process type.

   • Payroll Process – Search for the required payroll process ID to rollback.

   • Assignment Set – Optionally, select the assignment set.

Running the Create EPS Payment Values Process

This process enables you to extract all the period’s balances for the required PAYE scheme and makes them available on the EPS record page. For the given PAYE reference, this process calculates the sum of all statutory balances for all the assignments in the PAYE reference. It uses the parameters set in the Tax Reference Details organization EIT to calculate the statutory recovery values together with the NIC compensation values.

Use the Submit Request window.

To run the Create EPS Payment Values 2013/14 process

Use this process for tax year 2013/14.

1. Select RTI – Create EPS Payment Values 2013/14 in the Name field.

2. Enter the following parameters:

   • PAYE Reference – Select from the list of all the PAYE references within the organization.

   • Effective Date – Enter the tax period end date as 05-MM-YYYY for the relevant tax period.

   • Final Submission – Optionally, select Yes if you are creating final EPS payment values for ceased PAYE schemes or final values for the tax year. Default value is No.

To run the Create EPS Payment Values 2013/14 Multi Threaded process

1. Apart from the parameters of the Create EPS Payment Values 2013/14 process, enter the following:

   • Specify the number of threads that this process must take into account. This is a mandatory parameter and the default value is 3.

To run the Create EPS Payment Values 2014/15 process

Use this process for tax year 2014/15.

1. Select RTI – Create EPS Payment Values 2014/15 in the Name field.

2. Apart from the parameters of the Create EPS Payment Values 2013/14 process, enter the following:

   • Specify the number of threads that this process must take into account. This is a mandatory parameter and the default value is 3.

   • Indicate whether you want to provide the bank details for refund. Default value is No

   • Select the applicable organization payment method defined within the business group. If you have selected Yes to providing bank details for refund, then the application enables the Select Bank Details for Refund field.

   • Indicate whether you are claiming employment allowance. The default value is No.

   Note: Ensure that you run this process prior to querying the EPS record for the period using the self service user interface relating to the PAYE Scheme. This process reports the following details for ‘Employer Payment Summary – Created’:

   • SMP/SAP/OSPP/ASPP Recovery Type

   • Recovery Percentage Used

   • Recovery Percentage Used

   • SMP Amount Recovered

   • SAP Amount Recovered

   • OSPP Amount Recovered

   • ASPP Amount Recovered

   • NIC Compensation on SMP

   • NIC Compensation on SAP

   • NIC Compensation on OSPP

   • NIC Compensation on ASPP

To run the Create EPS Payment Values Pre 06 April 13 process

Use this process only for returns that relate to tax year 2012/13 even if the physical date for the tax year end (05-April) has passed.

1. Select RTI – Create EPS Payment Values Pre 06 April 13 in the Name field.

2. Enter the PAYE Reference and Effective Date parameters.

   Next Step: Retrieve the EPS record for the tax period (using self-service application) for a PAYE scheme, make required adjustments, and you are ready to run the Employer Payment Summary process.

Running the Employer Payment Summary Process

On receiving the FPS, HMRC calculates the employer liability (PAYE and NI) which is the amount they expect the employer to make for that period for the PAYE scheme. However, when there are any adjustments or reimbursements, for example, statutory payments recovery and the NIC compensation on the recovery amounts that reduce the expected liability, then you need to submit the Employer Payment Summary (EPS) for each period as necessary. The EPS contains the statutory payment recovery values (92% of SMP, ASPP,SAP,) and the NIC compensation on these recovery amounts. It also allows declarations to be made and if there are any amounts claimed for NIC holiday, CIS deductions suffered, or if there was an advance from HMRC to be reported. You send this record after processing all payrolls within the PAYE scheme and after submitting their FPS because this is relevant to the whole PAYE scheme. Oracle HRMS enables you to submit multiple EPS on the same effective date. Submit multiple EPS, after any Earlier Year Update (EYU) submissions, to report changes to a previous tax year that affect statutory payments such as SSP, SMP, and ASPP.

Setting up EPS Process

Prior to running the EPS process, complete the following steps:

1. Enter the information on Statutory Payments Recovery rates in the Tax Details Reference organization EIT.

2. Call the GB_EPS_GET_REC_AND_NIC predefined formula function (FF) from the SMP/SAP/ASPP and OSPP element formula. Pass Amount input value as a parameter. The seeded fast formula passes the Recovery and NIC Compensation computed values to the out parameters specified on the user formulae. Return these values to the appropriate predefined indirect elements for Recovery and NIC Compensation using the Formula Results functionality. For example, you must return the computed SMP Recovery amount to "SMP Recovery" element's Pay Value and return the computed SMP NIC Compensation to "SMP NIC Compensation" element's Pay Value. These indirect elements in turn feed the seeded balances which are reported after you run the RTI Create EPS Payment Values 2013/14.

3. If you are doing internet submission and if you select the 'Database' option for the XML Storage Type parameter, then create the following for usage by the EPS process:

   • Create the PAY_GB_RTI_SUBMISSION_ENCR table in the encrypted tablespace using the following script:

     CREATE TABLE (schema_name)."PAY_GB_RTI_SUBMISSION_ENCR" 
     ("SUBMISSION_ID" NUMBER NOT NULL ENABLE, 
     "BUSINESS_GROUP_ID" NUMBER(22,0), 
     "SUBMISSION_STATUS" VARCHAR2(1), 
     "CONC_REQUEST_ID" NUMBER(22,0), 
     "PAYROLL_ACTION_ID" NUMBER(22,0), 
     "REPORT_TYPE" VARCHAR2(100), 
     "XML_DATA" CLOB, 
     "EFFECTIVE_DATE" DATE, 
     "MESSAGE_TYPE" VARCHAR2(1), 
     "GENERATION_DATE" DATE, 
     "CREATED_BY" NUMBER(22,0), 
     "CREATION_DATE" DATE, 
     "LAST_UPDATED_BY" NUMBER(22,0), 
     "LAST_UPDATE_DATE" DATE, 
     "LAST_UPDATE_LOGIN" NUMBER(22,0), 
     "OBJECT_VERSION_NUMBER" NUMBER
     ) ;
     

   • Create the synonym using the following script:

     CREATE OR REPLACE SYNONYM (schema_name)."PAY_GB_RTI_SUBMISSION_ENCR"  FOR (schema_name)."PAY_GB_RTI_SUBMISSION_ENCR"

   • Create the sequence using the following script:

     CREATE SEQUENCE (schema_name)."PAY_GB_RTI_SUBMISSION_ENCR_S" MINVALUE 1  MAXVALUE 9999999999999 INCREMENT BY 1 START WITH 1 CACHE 20 NOORDER NOCYCLE ; 

   • Create the trigger to ensure that the who columns are populated in the table PAY_GB_RTI_SUBMISSION_ENCR appropriately.

   • Grant the required privileges to APPS user.

     Note: If you have specified the value as 'Database' for the XML Storage Type parameter, but have not created the required table, then the application displays an error message. You do not require the above mentioned steps if you are running the Electronic Data Interchange submissions.

4. Run the Create EPS Payment Values process.

5. Upon successful completion of the creation process, log into self service, and bring up the EPS Self Service page.

6. Make any changes and additions to the amounts displayed on the page for the PAYE reference and save the record.

7. Submit the EPS for approval (internal workflow task to be created).

   Note: If you do not want the Approval process to occur for the Employer Payment Summary submission, then set the RTI - Employer Payment Summary Approval process required profile option to No. When the value is No, the EPS process bypasses the process of setting the EPS record status to completed and no approver interaction is required. When you submit the record, the application sets it to verified directly. See: User Profiles, Oracle HRMS Configuring, Reporting, and System Administration Guide.

8. Approver then needs to submit the page which is picked up by the EPS EDI process.

9. Once the information to be sent for the period has been submitted, you can submit the EPS EDI process which creates the file for submission to HMRC.

Using EPS Self Service Page

Use the EPS Self Service page to view, update, and submit the Employer Payment Summary record created by the Create EPS Payment Values process. You can grant applicable personnel in your organization to access this page and complete the required tasks.

Navigate to the EPS page using Other Definitions > Real Time Information > Employer Payment Summary. You can perform the following actions:

• Search EPS records

  In this page you can search and retrieve the relevant PAYE Employer Payment Summary records. In the Search results section, you can select View icon to view the employer payment submission record. The record displays all the values that have been recorded on it by the Create EPS Payment Values process and any user inputs. This is a read-only page that displays information on all the values for the EPS record chosen. The Summary of Payments shown are the calculated values from the process (first column of figures) as well as the values that are editable by the user (second column of figures) that you can use to override the calculated values. The EDI file for EPS takes the values shown on the second column.

• Update EPS records

  To update the values in the second column in the EPS record page, click Update for the applicable record in the Search Results section. The Update – Employer Payment Summary Record page has the following three sections:

  • Employer PAYE Reference Details: Where the RTI information of the PAYE reference is displayed. All the information on RTI for the entered on the Tax Reference Details organization EIT is displayed here. The statutory reimbursement information shown is that used by the Create EPS Payment Values process. The items displayed are read-only and you cannot update here. The only field that you can update is the Approver Name.

  • Employer Checklist Declaration: You can enter or update all the declaration information for submitting to HMRC (as necessary). This is similar to the P35 declaration information that is currently required by HMRC at the end of the year.

  • Summary of Payments: Here you can make all the necessary amendments to the fields shown prior to submitting the EPS record for approval and subsequent submission to HMRC. The summary of payments section displays the actual value calculated from the EPS process. You can overwrite these figures as required by entering the replacement value in the enterable area for each item.

  You can choose to either:

  • Save – This saves the record with a confirmation notification. The status does not change for the record but fields that have been changed are updated.

  • Submit - This sends the record for approval with a confirmation notification. This action changes the status of the EPS record to ‘Completed’. After this status change, you cannot update the record if you have created it. Only the approver can update the record once the status has been set to ‘completed’. The application sends a notification to the user set up as the approver so that the record can be checked by them and verified that the record is ready to be picked up by the EPS process.

  • Cancel – takes you back to the Search page.

• Update by approver

  When the Approver gets a notification, they can go through the same functional flow to ‘Update’ or ‘Approve’ the record. This is same as Update Page for the creator of the EPS, except it is only available to the designated approver. In the Update – Employer Payment Summary Record (for approver) page, click the Verify button to change the EPS record status to ‘Verified’. The EPS EDI process picks up all ‘verified’ EPS records for the PAYE scheme and creates the file for submission to HMRC.

• Delete EPS records

  Click the Delete icon in the Search Results section for the applicable EPS record. Use the Delete button on the Delete – Employer Payment Summary Record page to delete the EPS record. The application displays a confirmation message.

To generate the EPS EDI file for a particular PAYE reference or for all ‘Verified’ EPS records in the business group for tax year 2013/14

1. In the Submit Request window, select RTI – Employer Payment Summary Process (EPS) 2013/14 in the Name field.

2. Enter the following parameters:

   • PAYE Reference – Optionally, select from the list of PAYE references in your organization.

   • Effective Date – Enter the tax period end date as 05-MM-YYYY for the relevant tax period. For example, if running a July monthly payroll FPS for payments at the end of the month (for example, 28 July), then the tax period is considered as period 05 running from 06-July to 05-Aug, and as such the date you enter is the end of the tax period in question (enter 05-Aug-YYYY). If running a weekly payroll and its dates span the tax period, then the EPS does not cover the values for this payroll as it falls into the next tax period. For example, if a weekly payroll pay date is 07-Aug, then this falls into the next tax period covered by 06-Aug to 05-Sept. and therefore the effective date entered of 05-Aug, in the above case does not include the weekly pay run values.

   • Test Submission – Select Yes if you require a test submission, otherwise for live files it is always No which is the default value. When the process has completed successfully, it updates the EPS record to ‘Sent’ status. Once the status is set to ‘sent’, the record is no longer available for updates by anyone. To re-calculate and re-send the message, you must roll-back the EPS record, and repeat the steps to create the EPS record, update, and submit.

To run the EPS process 2015/16

Use this process for the tax year 2015/16.

1. In the Submit Request window, select RTI – Employer Payment Summary Process (EPS) 2015/16 in the Name field.

2. Enter the following data:

   • Submission Mode: Select XML to generate an XML version of the EPS; else, select EDI to generate an EDI version of the EPS. Default value is EDI.

   • Gateway Test Indicator: Specify the gateway test indicator. Default value is No.

   • XML Storage Type: Select the XML storage type. If you select the Database option, then the application stores the XML that is generated in the table only. Ensure that you create the table. See section ‘Setting up EPS Process’ in this topic. If you select the File System option, then the application stores XML that is generated on the file system. This field gets enabled if the submission mode is XML.

To run the EPS process 2014/15

Use this process for the tax year 2014/15.

1. In the Submit Request window, select RTI – Employer Payment Summary Process (EPS) 2014/15 in the Name field.

2. Apart from the parameters of the 2013/14 EPS process, enter the following:

   • Submission Mode – Select XML to generate an XML version of the EPS; else, select EDI to generate an EDI version of the EPS. Default value is EDI.

   • Gateway Test Indicator – Specify the gateway test indicator. Default value is No.

   • XML Storage Type – Select the XML storage type. If you select the Database option, then the application stores the XML that is generated in the table only. Ensure that you create the table. See section ‘Setting up EPS Process’ in this topic. If you select the File System option, then the application stores XML that is generated on the file system. This field gets enabled if the submission mode is XML.

To run the EPS process pre 06 April 13

Use the Employer Payment Summary Process Pre 06 April 13 for returns that relate to tax year 2012/13 through the Submit Request window.

1. Select RTI – Employer Payment Summary Process Pre 06 April 13 in the Name field.

2. Enter the PAYE Reference, Effective Date, Final Submission, and Test Submission parameters.

Running the Employer Payment Summary Reset Status

If for any reason, you need to resubmit the EPS for a particular tax period, then you must reset the status of the EPS record. This is because once the EPS has been updated by the system to ‘sent’ status; no updates can be made to the EPS record on the system. Using the EPS Reset Status process, you can update the EPS record and resubmit. This process re-sets the EPS record to its position prior to being approved and sent. The status flag reverts to ‘Saved’ and it is available for update and re-submission process as normal.

Use the Submit Request window.

To run the EPS Reset Status process

1. Select RTI – Employer Payment Summary Reset Status in the Name field.

2. Enter the following parameters:

   • PAYE Reference – Select from the list of all the PAYE references within the organization.

   • Effective Date – Enter the tax period end date as 05-MM-YYYY for the relevant tax period for which you require to rollback.

Running the Full Payment Submission Process

Oracle HRMS enables you to start sending Full Payment Submissions (FPS) after you have submitted the ‘live’ EAS and HMRC has accepted it. You can send it as follows:

• First FPS to follow immediately after a live EAS is accepted. This is a one-time FPS that includes all the payment details for the employees paid that period as well as the year to date values of all the employee records sent on the EAS that are not actually processed through the payroll – for example, leavers in the tax year. As these employees may never get processed through payroll again, you can submit their information to HMRC for them to update the YTD figures for these employees. Each ‘group’ of employees who have had an EAS sent to HMRC must also go through the submission of the ‘First FPS’. You must set the ‘First FPS’ parameter to ‘Yes’ when running the FPS process.

• You can send subsequent FPS on or before any payment is made to employees every time. The FPS covers all employees who have had a payment through the payroll process regardless of the method of payment (BACS, cheque). The period values as well as year to date figures are present on this FPS for all these employees. You must set the ‘First FPS’ parameter to No, while running the subsequent FPS process for any group of employees.

HMRC uses the information submitted on FPS to update their records for the employees on an ongoing basis ensuring that the data they hold is as accurate as possible. If there are no payments made to any employee in any one period, then an FPS is not required, however, you must submit an Employer Payments Summary (EPS) with ‘no payment made’ indicator for such periods. In order to produce the Full Payment Summary, you must complete your payroll cycle (payroll run) for each group of employees and also the Pre-Payment process. Once these two processes are completed, you can initiate the FPS process. This process archives the data required for reporting on the FPS EDI file.

The RTI - Full Payment Submission - (FPS) program runs the RTI FPS Run Reconciliation report automatically. The Reconciliation Report displays all the information of employees/assignments extracted onto the EDI file and is similar to the report from the P14 EOY extract.

Use the Submit Request window.

To run the FPS process for 2013/14

1. Select RTI – Full Payment Submission Process (FPS) 2013/14 in the name field.

2. Enter the following parameters:

   • PAYE Reference – Select from the list of all the PAYE references within the organization.

   • Test Submission – Select Yes when you want to send a test FPS message file. For ‘live’ FPS, the default is always No.

   • First FPS – Select Yes if this is the first FPS being sent after HMRC has accepted the EAS. Always submit for each group of employees that were in the EAS.

   • First FPS Effective Date – Select the date for which the first FPS is being sent. This is mandatory if the First FPS parameter is Yes. The process uses this to determine the first pre-payment to be listed in the list of values for the Pre-Payment Request ID parameter and filter pre-payments processed prior to migration to RTI. Ensure that this date is the date of RTI migration (same as the date specified on the EAS. For example, if the RTI migration date is agreed with HMRC as February 2013, then this date must be 01-Feb-2013 for both EAS and First FPS. If the migration date is agreed as the 1st period in the new tax year and this payroll period spans both tax years (a 4 weekly payroll with dates of 30th March to 26th April 2013), then submit the EAS and FPS date as 06-April-2013 to filter out any previous year starters and leavers.

   • Payroll – Select from all the payrolls in the PAYE.

   • Pre-Payment Request ID – Select from the pre-payment request ID’s for the PAYE chosen. The list of values shows the earliest pre-payment run that has not yet had a FPS run. The list of values ensures that the values being reported in FPS runs where there are multiple pre-payments present are correct for YTD and ‘this payment’ values.

     Note: Ensure that each pre-payment has a FPS run separately regardless of BACS being run for multiple pre-payments. It is imperative the FPS’s are run in sequence to ensure that the values for ‘this payment’ and year-to-date being reported tally up to the employees’ payments being made by BACS. For normal FPS, the list of values of pre-payment ID’s displays only those pre-payments that have not had an FPS since.

   • Final Submission - if the FPS is the final one for the tax year, then set this parameter to Yes. This informs HMRC that the end of year process has been submitted for this PAYE. When you select Yes, the following optional parameters are enabled. You can optionally enter them:

     • Date Scheme Ceased – Enter applicable date, if the Final Submission parameter is Yes – Final for Ceased PAYE ref.

     • Free of Tax Payments Made – Select yes or no.

     • Employee Pay to third party – Select yes or no.

     • Expenses-Benefits from Others – Select yes or no.

     • Employed outside UK – 30 days – Select yes or no.

     • P11D/P11D(b) Due – Select yes or no.

     Note: Regarding HASH generation - In the FPS assignment/employee record being extracted, a field called BACS HASH is required if the payment is made by BACS. This field is a generated value from an algorithm that has been stipulated for use by HMRC for RTI. The FPS process uses the following rules as to when and how the HASH value is generated:

     • This field is generated using a Random number (on the BACS file) plus the Payment details of BACS Payment being reported in the FPS for the assignment/employee.

     • If there are multiple BACS payments for the same employee (payments are split between 2 or more employee bank accounts), then the HASH is on the largest of the BACS amounts.

     • If there are multiple payment types for the same employee (BACS & Cash / cheque) then the HASH is generated using only the BACS amount.

     • If there is a combination of multiple BACS and other payment methods (2 BACS payments, 1 Cheque and 1 Cash payment) then the HASH is generated using the highest BACS amount and the other amounts are included.

     • If there are no BACS payments (Cash or cheque or other non-BACS payment methods) then there no HASH is generated as there is no need for it.

To run the FPS process for 2014/15

Use this process for the tax year 2014/15.

1. Select RTI – Full Payment Submission Process (FPS) 2014/15 in the name field.

2. Apart from the parameters of the 2013/14 FPS process, enter the following:

   • FPS Payment Date – Enter the FPS payment date.

   • Submission Mode – Select XML to generate an XML version of the FPS; else, select EDI to generate an EDI version of the FPS. Default value is EDI.

   • Gateway Test Indicator – Specify the gateway test indicator. Default value is No.

   • XML Storage Type – Select the XML storage type. If you select the Database option, then the application stores the XML that is generated in the table only. If you select the File System option, then the application stores XML that is generated on the file system. This field gets enabled if the submission mode is XML.

   • Late PAYE Reporting Reason – Select one of the following as the reason:

     • A - Notional payment: Payment to Expat by third party or overseas employer

     • B - Notional payment: Employment related security

     • C - Notional payment: Other

     • D - Payment subject to Class 1 NICs but P11D/P9D for tax

     • E - No requirement to maintain a Deductions Working Sheet

     • F - Impractical to report work done on the day

     • G - Reasonable excuse

     • H - Correction to earlier submission

To run the FPS process for 2015/16

Use this process for the tax year 2015/16.

1. Select RTI – Full Payment Submission Process (FPS) 2015/16 in the name field.

2. In addition to the parameters listed in the 2013/14 FPS process, enter the following data (selected fields described):

   Field Name	Description
   Test Submission	Select whether this request is a test submission.
   First FPS Effective Date	Enter the first FPS effective date.
   FPS Payment Date	Enter the FPS payment date.
   Late PAYE Reporting Reason	Select one of the following as the reason: A - Notional payment: Payment to Expat by third party or overseas employer B - Notional payment: Employment related security C - Notional payment: Other D - Payment subject to Class 1 NICs but P11D/P9D for tax E - No requirement to maintain a Deductions Working Sheet F - Impractical to report work done on the day G - Reasonable excuse H - Correction to earlier submission

Running the Full Payment Submission Output

The FPS creates an output as well as a PDF report which reports all the vital information that is on the FPS. You can run this report separately using the RTI – Full Payment Submission Output 2013/14 concurrent program. This report details all the information that has been output to the EDI file. You can run this report separately for any FPS archive.

To run the FPS Output 2013/14

1. Select RTI – Full Payment Submission Output 2013/14 in the name field.

2. Select the applicable payroll action ID from the list of FPS archives.

Running the Full Payment Submission Rollback

You can roll back the FPS process which enables you to make any necessary corrections or additions to the data and re-run the FPS process.

To run the FPS Rollback process

1. Select RTI – Full Payment Submission Rollback in the name field.

2. Enter the following parameters:

   • Year – Select the tax year.

   • Archive Request ID – Select the applicable request ID from the list of FPS archives.

     Note: You cannot re-run FPS unless you roll it back. The rollback does the following:

     • Resets the Periods Covered value from 1 to the original value that assignment had before FPS program run.

     • Resets the EDI SENT flags on New Starter (RTI) tab.

Running Full Payment Submission Additional Reporting

Use this process to report all the employees who are transferred from one employer PAYE Reference to another and to report late leavers who have no payments after termination.

Use the Submit Request window.

To run the Full Payment Submission Additional Reporting

1. Select RTI – Full Payment Submission (FPS) Additional Reporting in the Name field.

2. Enter the following parameters:

   • Submission Mode - Select whether the submission is FPS for late leavers, FPS with leaver details, or FPS with starter details.

     Note: When you set the submission mode:

     • FPS for Late Leavers - The process picks up all the leavers who have the actual termination date on or after the date entered against the Reporting Date parameter. It picks up all leavers at tax year end, when assignments are transferred from one PAYE Reference to another by changing the Employee PAYE Reference on the Payroll window. The leaver record is on the Old PAYE Reference and a starter record is on the New PAYE Reference.

     • FPS with Leaver Details – The process picks up all active employees as on 5th April YYYY, where payroll definition is updated. Ensure that you have set up the employees with HRMC through EAS or FPS. The process does not pick up new hires that are not set up with HRMS. It does not pick up terminated employees where the reporting date to HMRC is set and leaver details if there is an outstanding pre-payment with no FPS run. The process sets the leaver date to 5 April of the relevant tax year. It reports the YTD values for the tax year and sets the PTD values to zero. The generated FPS record is based on the MIG for the relevant tax year.

     • FPS with Starter Details – The process generates a starter record for all employees submitted through the Old Employer PAYE Reference. It sets the starter date to 6 April of the tax year. The process reports the starter declaration details and the YTD values as zero. The generated FPS record is based on the MIG for the relevant tax year. In line with HMRC instructions, the process reports starter declaration details as follows:

       • For employees having tax codes as 0T, BR, or codes starting with a D prefix, it reports starter declaration as ‘C’.

       • For employees having any other tax codes, it reports starter declaration as ‘B’.

   • PAYE Reference - Select from the list of PAYE references in the organization.

   • Payroll – Specify the applicable payroll. The application disables this field if the submission mode is either FPS with Leaver Details or FPS with Starter Details.

   • Reporting Date – The application defaults the date to 05-APR-YYYY when the submission mode is set to 'FPS with Leaver Details'. It defaults the date to 06-APR-YYYY when the submission mode is set to 'FPS with Starter Details'.

   • Test Submission – Indicate whether this is a test submission. Default value is No.

     Note: In the new tax year, you must submit the FPS with submission mode 'FPS with Starter Details' before submitting any normal FPS program.

To roll back FPS Additional Reporting process

To re-run the RTI – Full Payment Submission (FPS) Additional Reporting process, use the GB Rollback Process by entering the year, process type, payroll process, and assignment set as parameters. See: Rolling Back EAS

Running the RTI - GB Populate Hour Bands Process

Oracle HRMS for UK enables you to migrate the existing normal hours bands to the revised bands. This concurrent program migrates the normal hours band recorded against the RTI Information assignment EIT to the RTI Information element's input value 'Normal Hours Band'. This enables the application to maintain the date track history.

This program migrates the normal hours band as follows:

• A - A

• B - B

• C - D

• D - E

You can run the program in Validate Only - Updates Not Applied To The Database mode first, to ensure that the program reports the expected list of employee records with appropriate normal working hour bands. If you are satisfied with the results, then you can run the process in Validate and Commit mode to commit the changes to the database.

Use the Submit Request window.

To run the RTI – GB Populate Hour Bands

1. Select RTI – GB Populate Hour Bands in the Name field.

2. Enter the following parameters:

   • PAYE Reference – Select from the list of all the PAYE references within the organization.

   • Effective Date - Enter the effective date from when to migrate the existing normal hours band. The default is 6-APR-2014.

   • Mode - Select the mode to either validate only or to validate and commit to the database.

Running the RTI - GB Update SCON Numbers Process

Use this process to only update SCON number records against assignment where NI category is set to D, E or L. This process does not update SCON number records for assignments where NI category is not D, E or L, even if these assignments are included within the assignment set specified. If all NI aggregated assignments are not included in the assignment set provided, then the application updates the SCON across all NI aggregated assignments, as SCON number has to be same across all NI aggregated assignments sharing the same NI category. For NI only aggregated assignments, SCON number needs to be same across assignments sharing the same NI Category. The application displays the updated SCON number on the Tax Information window > NI Tab > SCON field. You can run the program in "Validate Only - Updates Not Applied To The Database" mode first, to ensure that the expected list of employee records are reported with appropriate SCON Numbers. Once satisfied with the results, then you can run the process in "Validate and Commit" mode to commit the changes to the database.

Use the Submit Request window.

To run RTI – GB Update SCON Numbers process

1. Select RTI – GB Update SCON Numbers in the Name field.

2. Enter the following parameters:

   • Effective Date - Enter the effective date from when to update the SCON numbers. The default is 6-APR-2014.

   • SCON Number – Select the applicable SCON number.

   • Payroll Name – Select the applicable payroll.

   • Assignment Set – Select the applicable assignment set.

   • Mode - Select the mode to either validate only or to validate and commit to the database.

Running the NINO Verification Request Process

Use this process to request National Insurance Numbers for new or existing employees through an EDI message file submission. Using the same method, you can for verification of existing National Insurance Numbers. This process archives the data required for reporting on the EDI file.

Use the Submit Request window.

To run the NVREQ process

1. Select RTI – NINO Verification Request Process (NVREQ) in the Name field.

2. Enter the following parameters:

   • PAYE Reference – Select from the list of all the PAYE references within the organization.

   • Payroll – Optionally, select from the list of all the payrolls within PAYE reference chosen. If no payroll is entered, the process selects all payrolls within the PAYE reference and scans for all records where the NI Verification data is missing.

   • Test Submission – Select Yes if you are sending a test EAS message file. For ‘live’ files, default is always No.

   • Process Type – Optionally, you can run this process for an assignment set or an individual employee. If you set this parameter to Assignment Set, then the Assignment Set field becomes mandatory. If the parameter is set to Employee, then the Employee ID field becomes mandatory. Enter applicable values.

Upon sending this file, you receive an acknowledgement that contains a correlation ID. This correlation ID is present in the reply message (NVREP) that HMRC sends.

Running the NINO Verification Reply Upload Process

The National Insurance Number Verification Reply (NVREP) is a message that HMRC sends for the following reasons:

• A reply to the National Insurance Number Verification request (NVREQ) sent by the employer.

• A result of an incorrect or missing National Insurance Number on the Employer Alignment Submission (EAS) or a Full Payment Summary (FPS) sent.

In either case, you must act on the information supplied and upload the correct NI number for the employee where necessary. Use the NVREP process to upload the NVREP file received from HMRC through the Submit Request window.

To run the NVREP process

1. Select RTI – NINO Verification Reply Upload Process (NVREP) in the Name field.

2. Enter the following parameters:

   • File Name – select the name of the incoming file to be uploaded through the process.

   • Validate mode – select the validate mode. Depending on the following modes, the process does the following:

     • Validate only –no updates made to the person’s record. Only validation is carried out.

     • Validate and Commit- Live – you can use this mode for a live or test file being sent by HMTC.

       For a test file (test indicator on the header = ‘1’), a warning appears to that effect and the person record is not updated with the NINO number on the file. The process reports missing employees. It checks whether all employees processed (under Validate mode) are on the report as described in the Output Report.

       For a live file (test indicator on the header = blank), the process checks whether the NINO Verified flag on the person EIT is set (box is ticked). There is no update to the person record as the NINO is already verified and correct for the person and a message to that effect is provided. If the NINO Verified flag on the person EIT is NOT set (box is un-ticked), then the process updates the record with the NINO supplied on the incoming file.

     • Validate and Commit - Always – use this is a parameter during pilot testing runs with HMRC, Depending on the NINO Verified flag on the person EIT, the result is different. If the NINO Verified flag on the person EIT is set (box is ticked), then there is no update to the person record as the NINO is already verified and correct for the person and a message to that effect is provided. If the NINO Verified flag on the person EIT is NOT set (box is un-ticked), then the process updates the record with the NINO supplied on the incoming file.

       Note: The difference between the Validate Always and Validate Live mode is that the ‘test’ indicator on the incoming file header is not be checked for Validate Always mode. Use this option with care. All employees processed (under Validate and Commit mode) are reported on the Output Report from the process. Once the record is found using the ‘Validate and Commit options, the process updates the employee record on Real Time Information NINO Verification Details EIT with the NINO to Use number provided in the file sent by HMRC as a reply to NVREQ.

Running the RTI - P60 Archive Process

Use the Submit Request window.

To run P60 Archive process

1. Select RTI – P60 Archive Process in the Name field.

2. Enter the following parameters:

   • End Date – Enter the tax year end date.

   • Employers PAYE Reference – Select from the list of PAYE references in the organization. This processes all the eligible employees (similar to existing End of Year Process).

Running the RTI - P60 Status Process

Use the Submit Request window.

To run P60 Status process

1. Select RTI – P60 Status in the Name field.

2. Enter the following parameters:

   • Enter the archive request ID.

   • Change P60 status to Draft, Published, or Submitted.

Running the RTI - Year End P60 Report Process

Use the Submit Request window.

To run Year End P60 Report process

1. Select RTI – Year End P60 Report Process in the Name field.

   The parameters for RTI P60 report generation process remains the same as the non-RTI version in that you must provide an archive end date along with the sort parameter.

   The templates available for RTI are same as non-RTI version:

   • P60 Type LE Portrait

   • HMRC Laser Single Sheet Portrait

   The options of printing plain paper P60 or generating an eP60 remains the same for RTI and non-RTI users.

Setting up Net of Foreign Tax Reporting for RTI

Oracle HRMS enables you to process and report foreign tax. Employers can give foreign tax credit relief (FTCR) through the payroll where there is a foreign tax withholding obligation as well as PAYE due on the same income for employees. The Statement of Earnings (SOE), payslip, and FPS report the foreign tax. On submitting FPS, the value of PAYE reported reflects the amount actually deducted against UK PAYE, the amount of PAYE reduced by the amount of FTCR. This relates both to ‘This Payment’ and ‘Year To Date’ values. As FTCR is already deducted while computing PAYE deduction in PAYE formula, the PAYE balance reported on the FPS and other reports relate to net PAYE. The application adds foreign tax to Deductions from Net Pay on the FPS.

To set up net of foreign tax reporting for RTI

1. Link Foreign Tax element to the required payrolls or all payrolls.

2. Attach an element entry for this element.

3. Enter the foreign tax amount against the Amount input value for this element.

Running RTI Reconciliation Reports

Oracle HRMS enables you to run three RTI reconciliation reports to aid reconciliation and audit the data to be sent to HMRC. These reports are:

• RTI FPS Run Reconciliation Report – you can run this report as required for an FPS. Additionally, the FPS process run spawns this report automatically.

• RTI Year to Date Reconciliation Report – you can run this report as required, especially after EYU/P60 for a tax year to reconcile all the values reported. It reports the entire population within the PAYE Reference specified.

• RTI Year to Date Reconciliation Report (Discrepancies) - This report identifies records with discrepancies, as opposed to RTI Year to Date Reconciliation Report which would report.

To run RTI FPS Run Reconciliation report

1. Select RTI FPS Run Reconciliation Report in the Name field.

2. Enter the FPS archive request ID.

To run RTI Year to Date Reconciliation report

1. Select RTI Year to Date Reconciliation report in the name field.

2. Enter the following parameters:

   • Employer PAYE Reference - Select from the list of all the PAYE references within the organization.

   • Effective Date - The date entered here determines the timeframe for which the YTD values are to be reported. For example if 05-April 2013 is supplied, then this process reports all the balances up to that point.

   • Run Mode – Select from the following: Compare All - compares the FPS, P60, and EYU Amendments run values against the Payroll run values at the supplied effective date. Compare Payroll vs FPS+EYU amendments Compare Payroll vs Last FPS Compare Payroll vs P60

   • P60 Request ID – this field is enabled when the mode is Compare All or Compare vs P60.

   • Number of Threads - Specify the number of threads that this process must take into account. Based on the number of threads specified, the report runs in multi threaded mode.

   The Reconciliation Report displays all relevant information on employees/assignments extracted onto the EDI file and this report is similar to the one from P14 EOY extract. This report displays the relevant YTD balance values as follows:

   • If the Run Mode is set to: Compare Payroll vs Last FPS, then it reports all the employees that have a FPS run. It compares the FPS values reported with payroll values and reports discrepancies, if any.

   • If the Run Mode is set to: Compare Payroll vs FPS + EYU Amendments, then it reports all the employees that have a EYU run. It compares the FPS and EYU values reported with payroll values and reports discrepancies, if any.

   • If the Run Mode is set to: Compare Payroll vs P60, then it reports all the employees that have a P60 run, specified by the P60 request ID. It compares the P60 values reported with payroll values and reports discrepancies, if any.

   • If the Run Mode is set to: Compare All, then it reports all the employees that have payments, reporting figures for payroll run, FPS run, EYU Amendments, P60 run, specified by the P60 request id parameter. It compares these values reported with payroll values and reports discrepancies, if any.

To run RTI Year to Date Reconciliation Report (Discrepancies)

1. Select RTI Year to Date Reconciliation Report (Discrepancies) in the Name field.

2. Enter the following parameters, which are same as those of the RTI Year to Date Reconciliation Report:

   • Employer PAYE Reference

   • Effective Date

   • Run Mode

   • P60 Request ID

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