A reminder about the EYU for tax years 2020-21 and beyond

28 May 2021

HMRC guidance has been updated to reflect the fact that the Earlier Year Update (EYU) is no longer a valid submission for tax year 2020-21 or any subsequent tax years.

The information centres on sending an EYU using HMRC’s Basic PAYE Tools (BPT) and confirms that, to make a correction to a figure submitted via Real Time Information (RTI) for a previous tax year, for tax year 2020-21 onwards, a Full Payment Submission (FPS) must be used.

For tax years 2018-19 and 2019-20, employers were able to submit either an FPS or an EYU, as HMRC wanted to pilot the changes to ensure that they would not have any detrimental impacts. For tax years 2017-18 and years prior to that, only an EYU should be submitted.

In summary, amendments to tax years ending:

  • 5 April 2018 and earlier – will be made by the submission of an EYU only
  • 5 April 2019 – EYU or FPS will be accepted
  • 5 April 2020 – EYU or FPS will be accepted
  • 5 April 2021 – will be made by the submission of an FPS only

 


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