Do all employers have to use real time information for their PAYE reporting?

Yes, all employers with standard PAYE schemes are required to report their PAYE information in real time (beginning on a date before 6 October 2013, as agreed with HM Revenue and Customs (HMRC)). There are very limited exemptions for some non-standard schemes, for example contractors that file their returns under the Construction Industry Scheme.

In some situations, employers are allowed to report the information to HMRC within seven days of payment being made to the employee. This is the case where payments are made:

  • on the day of work and vary according to the work done and where it is impractical to report in real time; and
  • to employees for whom the employer does not have to maintain a deductions working sheet (form P11).