One-third of small businesses are not aware of Real Time Information (RTI) and how it will affect their PAYE systems, according to new research.
Business software specialist Sage surveyed 1,100 UK SMEs and found that 64 per cent were aware of the changes that will come into effect in April 2013. However, only one in ten questioned thought that RTI would be good for their business.
Neilson Watts, associate product manager at Sage, said: “’RTI will impact all businesses, regardless of their size.
“We urge that firms act now to not only understand exactly how it will impact their businesses but to adequately prepare for the changes coming into play.”
Employers and pension providers will begin to use RTI from April 2013 to October 2013, with all employers doing so by October 2013.
It will require employers to notify HM Revenue & Customs of employee PAYE, National Insurance and student loan as payments are made each month, rather than only at year end.
Link: HMRC RTI guidance