Previous Year FPS

Overview

From April 2021 only corrections for tax years up to and including 2017/18 are to be provided through an EYU. Corrections to data submitted for tax years 2018/19 onwards should be submitted to HMRC through a Previous year FPS i.e. the revised YTDs for the tax year are to be submitted rather than the difference. An EYU includes only the difference in YTDs between the last submitted FPS for the appropriate tax year and the revised YTDs.

To distinguish a current year FPS and an FPS to correct previous year data, the FPS to correct previous year data will be known within XCD as a 'Previous Year FPS'.

On this page we will describe how to create a 'Previous Year FPS'.

Creating a Previous Year FPS

• Go to the HMRC tab

• Click on the Previous year return button

• Select the Tax year for which corrections are to be submitted

From the resulting Previous year return screen:

• Select the relevant employer from the drop down

• Select the tax year

• Select the pay frequency (Note: a single Previous Year FPS can be created for multiple employees, however all employees must have the same Payroll frequency)

• Use the check boxes on the left to selected Employees that are to be included on the Previous Year FPS

• Click on the Create return button:

Notes:

• • If the 'Create return' button is clicked with no employees selected the RTI Submission record will be created for the final period of the selected tax year but with no employees attached.

• If the selected tax year is 2017/18 or earlier an EYU submission will be created. If the selected tax year is 2019/20 or later an FPS Submission will be created for the selected Employees.

Click on the RTI- link - only the employee(s) selected above will be included.

Click on the RT- link to open the individual FPS - make necessary changes and click on the Save button.

The FPS Submission created will be a clone of the fields against the final FPS for the selected tax year, except for fields below:

• Date submitted = blank (this will get populated when the FPS gets submitted)

• Status = Draft (this will get updated when the FPS is accepted by HMRC)

• No employees = count of selected employees

• Correlation ID = blank (this will get updated when the file is submitted to HMRC)

• Late reporting reason = H (Correction to earlier submission)

• Response message = blank (updated when FPS is submitted to HMRC)

• Payment date = blank

A clone of the employee's final FPS record for the selected tax year will be created for selected employees. If there are any RTI additional records i.e. car or van details these will also be cloned.

The Previous Year FPS created may contain employees with data from multiple pay periods in the relevant tax year. Employees who were in employment at the end of the year will have final pay dates that reflect the final period of the tax year, however where leavers are to be included the last pay day may be different for each employee selected.

Creating a Previous Year FPS for 'New' Employees

The 'New' button available on the RTI related list allows for an FPS record to be added for an employee who did not previously exist in the system.

This may be required where an employee was paid in the previous tax year but not paid through the Payroll. Another example may be an employee who had left prior to implementing XCD payroll but had not been added to the Payroll as part of the implementation. In both these cases it is entirely a manual process to populate all fields on the RTI FPs record.

Submitting a Previous Year FPS

A Previous Year FPS is submitted in exactly the same way as a current year FPS:

• Go to the HMRC tab

• Select the relevant RTI record and click the Submit button. See Creating the FPS.

• Click Submit

A Previous Year FPS record can be identified by - Type = 'FPS' and the Payment date and Tax period are both blank.

Notes

• Last pay day: the system will find the FPS record with the latest pay day for each employee, for the tax year selected

• Statement of Earnings: should be provided to employees (or ex employees where left) detailing any change in details submitted to HMRC. P60s from a Previous Year FPS are not supported

• Ledger Reporting: any changes made to employee records will not impact previous ledger files. If necessary a manual adjustment will be required to the ledger

• Tracking changes: any changes made to the RTI records are fully auditable

Related Videos

Previous Year FPS