Finishing the tax year - Frequently Asked Questions

• What are the important dates at the End of Year?
• What do I need to send?
• Who must send an Employer Annual Return?
• How do I complete and send my P35 as I did not have any employees?
• Do I have to send my Return online?
• How do I send my Return online?
• How do I claim my tax-free payment?
• What category letter do I put in for National Insurance (NI)? Is it the last letter of the NI number?
• What NI table letter should I use on a P14 for an employee always paid below the Lower Earnings Limit (LEL)?
• What is the P38A Employer Supplementary Return?
• What do I do with form P38(S)?

Need more help?

If you have any other questions about finishing the tax year which have not been covered you can get more help by calling the Employer Helpline on 08457 143 143, or you can send an email and we will reply within two working days.

Q What are the important dates at the End of Year?

A. 19 April: Last date for any outstanding 2007-08 PAYE and Class 1 NICs payments sent by post to reach your Accounts Office.
22 April: Last date for cleared funds to reach the HM Revenue & Customs (HMRC) bank account for any outstanding 2007-08 PAYE and Class 1 NICs deductions paid electronically.
19 May: Last date for your 2007-08 forms P14 or substitutes, and P35 to reach your HMRC office.
31 May: Last date for giving a 2007-08 form P60 to each employee who was working for you at 5 April.
6 July: Last date for

• your 2007-08 form P9D and forms P11D or substitutes to reach your HMRC office
• any return of Class 1A NICs on form P11D(b) for 2007-08 to reach your HMRC office
• giving a copy of the 2007-08 form P9D, P11D or equivalent to each relevant employee

19 July Last date for payment of 2006-07 Class 1A NICs sent by post to reach your Accounts Office.
20 July Last date for cleared funds to reach the HMRC bank account for any outstanding 2007-08 Class 1a NICs paid electronically.

Q What do I need to send?

A. This will depend upon your circumstances. An Employer Annual Return can be made up of any of the following:

• P35
• P14
• P38A
• P9D
• P11D
• P11D(b)

More information about these forms is available in Helpbook E10 Finishing the tax year.

Q. Who must send an Employer Annual Return?

A. You must only send an Employer Annual Return if you had to fill in at least one Deductions Working Sheet (P11 or equivalent) during the tax year. By law, you only need to complete a Deductions Working Sheet where:

• your employee has given you a P45(3) with a date of leaving in the current tax year
• you pay someone at or above the Lower Earnings Limit
• you deduct tax on earnings
• we send you a code number for an employee or director and you operate it against their pay

Q How do I complete and send my P35 as I did not have any employees?

A. If you haven't had any employees in the tax year then you do not have to send us a form P35 unless you are a limited company and wish to reclaim the CIS deductions you have suffered. In those circumstances you should enter an amount in the 'CIS deductions suffered' box.

Do not send a P35 if you do not need to make a Return (see the previous section for details). Instead, contact your HMRC office by phone or in writing and tell us that you are not sending a Return. You will not get a tax-free payment if you send an online Return with no financial entries.

Q Do I have to send my Return online?

A. You must send your Return online if you had 50 or more employees at 30 October 2006. If you have fewer than 50 employees and you have to send a Return and you send it online, you may get £100 tax free.

Q How do I send my Return online?

A. You will find all the information you need on our online filing pages.

Q How do I claim my tax-free payment?

A. The quickest and easiest way is to 'self serve' by deducting the amount from your next PAYE payment(s) to us. More information is available on our online filing pages.

Q What category letter do I put in for National Insurance (NI)? Is it the last letter of the NI number?

A. No. The category letter for NI is the category that you have been deducting from your employee's wages. You will find the relevant category on the NI tables you have been using or from your payroll records. Use the flowchart (PDF 42K) to find out which category you should have been using.

If you discover that you have been using the wrong NI category for one or more of your employees please contact the Employer Helpline for advice on Tel 08457 143 143.

Q What NI table letter should I use on a P14 for an employee always paid below the Lower Earnings Limit (LEL)?

A. When you do not have any NI contributions to report you should complete the form P14 with category letter X. You should also enter zeros in columns 1a-1c.

Q What is the P38A Employer Supplementary Return?

A. This form asks for details about payments made to people who worked for you during the tax year but for whom you did not complete form P14 (End of Year Summary) or form P38(S). Employers must complete this form where they have answered 'no' to question one on the 'Checklist' (part 3) on form P35. You can send your P38A online.

Q What do I do with form P38(S)?

A. You must keep all forms P38(S) for at least three years after the end of the tax year to which they relate, or longer if you are asked to do so.