If you notice a mistake in a previous tax year, it's easy to fix this. Roll back any periods in the current tax year, then roll back to the period that you need to correct in the previous tax year. You can correct the error and then process your payroll up to date as normal.  TIP: Once you correct the mistake, you don't need to resubmit your end of year submission. However, you must reprint P60s for any employees affected by the correction.
You can submit changes to HMRC for the two previous tax years using Sage 50 Payroll. Back up your dataBefore you start, it's important to back up your data.
Print historical payslipsPrint historical payslips to ensure you have details of the original payments for all the periods you need to reprocess. This helps you later in the Enter the correct pay section.
Roll back the current tax yearIf you process any payments in the new tax year, you need to roll these back before you can roll back the previous tax year. Find out how to use the rollback option.
Enter the correct payYou need to process the correct pay for the employees as normal, starting from the earliest period you need to reprocess. Then reprocess each period back up to date. You can use the historical payslips that you printed earlier. Make sure that you print your normal reports, including the payslips and then update records for each period. If you normally post the nominal link to Sage Accounts, you need to post the correct salary journals to Sage Accounts after you update records.
Notify HMRC of the changesTo let HMRC know of the changes, submit an adjustment to HMRC for a previous tax year.  NOTE: Submit the amendment to HMRC before you start reprocessing in the subsequent tax year.
Update tax codesBefore you start reprocessing, check your employees' tax codes are correct. If required, update your employees' tax codes.
Submit an EPS for a previous tax yearTo inform HMRC of values that aren't in the full payment submission (FPS), submit an employer payment summary (EPS) for a previous tax year. |