Full Payment Submission Process Updates to Employee Calculation Card
The Full Payment Summary (FPS) process automatically updates the tax code and the tax basis to the same values used during the Pay AS You Earn (PAYE) calculation of a payment, when a payment is made after employee termination and a P45 is issued.
You can configure this in the organization Statutory Deductions and Reporting calculation card by selecting the check box Enable FPS to update tax code if payment after P45.
The FPS process automatically updates the tax code and the tax basis to the same values used during the PAYE calculation of a payment. The application reverses the changes for the tax code and the tax basis to their original values, if you perform the FPS rollback. However, you can't do this once the FPS is submitted.
Only a Live FPS updates the calculation card. The PAYE record updates are as of the effective date of the payroll run that this FPS is reporting. If there are additional future dated calculation card PAYE records for the employee, all such future dated records are updated with the new tax code and tax basis.
The FPS only performs the calculation card update if a P45 exists for the employee, or, a P45 was issued manually. There should have been a QuickPay or payroll run after the P45 action or the P45 Manual Issue Date.