Get ready to operate RTI for your expatriate workers

The introduction of PAYE Real Time Information (RTI) presents a major challenge for many employers who have just solely domestic employees, but for businesses with expatriate workforces the complexities are increased.  This is demonstrated by the fact that HMRC has issued specific guidelines on the subject, which although helpful, only serve to underline the need for relevant processes to ensure compliance.

Failure to implement and comply with RTI requirements, can create issues for Senior Accounting Officers (SAOs) and may lead to penalties being levied by HMRC.

Issues the employer will need to think about

Employers need to consider whether their current processes and controls are adequate to deliver an accurate payroll. The following gives a snapshot of the types of questions they should be asking of themselves:

  • Have you identified your inbound and outbound expatriate population and your payroll arrangements?
  • Have you reviewed all existing payroll arrangements for your expatriate populations to determine what data needs to be captured for PAYE and NI purposes, from whom and how often?
  • Have you spoken to your outsourced payroll provider to ensure they can meet the new requirements?
  • Have you considered your overall view of risk in this area, which is also important for organisations which are subject to the “Senior Accounting Officer” reporting requirements.
  • Do you have adequate payroll processes in each foreign location to capture all data?  How do you share this with the UK payroll?  Is the data shared accurate, timely and frequent? 
  • Should you be re-considering whether to equalise your inbound expatriates for instance, if it gives access to relaxation of RTI requirements under approved schemes?

For further information please download our attachment.


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