Update on HMRC RTI - Real Time Information

HMRC are to add an additional employers to their new Real Time Information (RTI) scheme. Between now and September 2012, 1,300 additional employers will join the pilot scheme whereby they notify HMRC of their PAYE payroll on a monthly basis thereby allowing tax information to be updated 12 times a year, rather than once a year as it currently is. The scheme aims to reduce the number of errors and tax code irregularities that are a side effect of the current system. From April the pilot scheme has grown from the initial 10 employers and now has 338 PAYE schemes with over 1.7 millions records having been processed. The scheme is expected to launch in full by October 2013, paving the way for the launch of the Universal Credit - replacing the current benefit system.