What do you want to do or be advised about?
The internet processing check list
Note: This check list is intended for the set up of internet processing for payroll year end P14 and P35. Once this is done there is no additional set up required for in year P45 and P46 submission.
Please ensure you follow through this check list at the earliest opportunity, if this is left too late you risk financial penalties from HM Revenue & Customs - HMRC.
This check list needs to be followed before logging your APAG call when ADP Dealer Services UK Ltd are your Agent for processing the end of payroll year data.
Do you know if you have a mandatory requirement to file electronically payroll 2007-2008 year end P14 and P35 data for each PAYE reference?
If your answer is Yes continue to step 2 of this check list.
If your answer is No Refer to the Government Gateway Helpdesk on 0845-6055999. Know your PAYE office number and employer reference before you telephone the helpdesk.
Do you have to file electronically for 2007-2008 PAYE year?
If your answer is Yes continue to Step 3 of this check list.
If your answer is No No further electronic action is required for PAYE year 2007-2008 end of year filing but there are incentive payments for early electronic filing. Continue to Step 3 of this check list if you still would like to file electronically for 2007-2008.
Do you wish to electronically receive payroll forms from HMRC such as tax code notices or submit your year end P14 and P35 data electronically yourself instead of using an Agent such as ADP Dealer Services UK Ltd or remain receiving payroll forms paper based?
If Electronic forms such as tax code notices are required continue to Step 4 of this check list.
If you want to submit your own P14 and P35 year end forms and not use an Agent such as ADP Dealer Services UK Ltd continue to Step 4 of this check list.
If you want to continue to receive paper based forms and to use an Agent such as ADP Dealer Services UK Ltd to submit your year end P14 and P35 forms then it is not necessary for you to register your PAYE reference on the Government Gateway for PAYE Online for Employers - Internet so Continue to Step 9 of this check list.
Have you registered your PAYE reference on the Government Gateway for PAYE Online for Employers - Internet and specified a password, Email address and contact details?
If your answer is Yes continue to Step 5 of this check list.
If your answer is No Register on www.hmrc.gov.uk for PAYE Online for Employers - Internet or via the Government Gateway Helpdesk on 0845-6055999
Have you received your activation PIN letter and activated your user id?
If your answer is Yes continue to Step 6 of this check list.
If your answer is No Activate on www.hmrc.gov.uk or via the Government Gateway Helpdesk on 0845-6055999 within 28 days of registration.
If your answer is Yes but too late you will probably need to start your registration again, contact the Government Gateway Helpdesk on 0845-6055999.
Are you submitting P14 and P35 data from your own server or using ADP Dealer Services UK Ltd as an Agent?
If from your own server continue to Step 7 of this check list.
If you plan to use an agent such as ADP Dealer Services UK Ltd continue to Step 9 of this check list.
You are submitting data yourself. You require server based internet connectivity and commercial freeware encryption software called Stunnel to be installed on the server. Has this been quoted for? Have you accepted and returned the quotation? and has the set up been performed?
If your answer is Yes to all three questions continue to Step 8 of this check list.
If you have not yet been quoted contact the ADP Dealer Services UK Ltd Sales Department on 01635-214242 or sales@kerridge.com
If you have been quoted for the server internet connectivity and Stunnel installation but not accepted the quotation you should either accept the quotation and continue to step 8 of this check list or opt for the ADP Dealer Services UK Ltd Agent option and continue to step 9 of this check list.
If you have accepted a quotation for the server internet connectivity and Stunnel installation but this has not yet been performed you should contact the ADP Dealer Services UK Ltd Software Support Department on 0845-3031300 and log a technical hardware call and continue to Step 8 of this check list.
If you are unsure on the quotation status you should contact the ADP Dealer Services UK Ltd Sales Department on 01635-214242 or sales@kerridge.com and continue to step 8 of this check list.
Do you wish to submit data yourself as an Agent?
If your answer is Yes you should request further details from mike_d_dean@adp.com. Continue to Step 10 of this check list.
If your answer is No continue to Step 10 of this check list.
You are using ADP Dealer Services UK Ltd as an Agent. From 6th April 2005 it is no longer necessary for you to complete paper form FBI2 authorising ADP Dealer Services UK Ltd to be your agent for sending your PAYE information at payroll year end - P14 and P35. ADP Dealer Services UK Ltd would only ever require a FBI2 form to be completed if ADP Dealer Services UK Ltd were to receive information sent such as P6's but since this is outside the agreement this is not relevant.
It is important that you do not allocate ADP Dealer Services UK Ltd as your agent as this is not necessary. Since 6th April 2005 agents such as ADP Dealer Services UK Ltd may submit your data as Unauthorised agents in the terminology of the Government Gateway. ADP Dealer Services UK Ltd will however take the view that you have authorised us to submit your data as a result of the signing of the ADP Dealer Services UK Ltd Agent Agreement and the placing of a software support call of the type APAG.
Have you signed a quotation from ADP Dealer Services UK Ltd and a ADP Dealer Services UK Ltd Agent Agreement?
If your answer is Yes continue to Step 10 of this check list.
If you have not yet been quoted for agent processing contact the ADP Dealer Services UK Ltd Sales Department on 01635-214242 or sales@kerridge.com and request a quotation for Payroll Agent processing, state how many PAYE references are required. Continue to step 10 of this check list.
If you do not have a copy of the ADP Dealer Services UK Ltd Agent Agreement contact the ADP Dealer Services UK Ltd Sales Department on 01635-214242 or sales@kerridge.com and ask for a Payroll Agent Agreement. Continue to step 10 of this check list.
If you have not signed the quotation and Agent Agreement you should sign the quotation and Agent Agreement and return to the ADP Dealer Services UK Ltd Sales Department on the address stated on the Agreement. Continue to step 10 of this check list.
Set up your internet user id and passwords on your ADP Dealer Services UK Ltd payroll system or check earlier set up. Note that if they are inaccurate your electronic return will not be filed correctly and you risk a financial penalty.
Login to your ADP Dealer Services UK Ltd payroll system into any payroll company and any payroll type using the internet year end submission as a priority 8 user. Enter the System maintenance menu, Internet EOY return parameters option.
On the Internet EOY parameters TAB:-
Sender ID: Check this is correct. If you have not registered your PAYE reference on the Government Gateway because you plan to use an Agent to submit your P14 and P35 forms and want to remain receiving paper forms then enter the Sender ID as ISV245.
Sender password: Check this is correct. The system will ask you to confirm the password entry. If you have not registered your PAYE reference on the Government Gateway because you plan to use an Agent to submit your P14 and P35 forms and want to remain receiving paper forms then enter the Sender password as testing1.
Sender type: The sender type field is either:-
E: Employer - if you are submitting the P14 and P35 forms from your own server.
A: Agent - if you are using the ADP Dealer Services UK Ltd Agent service.
Max poll interval (seconds): Only accessed by ADP Dealer Services UK Ltd users, it will be set to 300.
Stunnel IP address: Set to localhost unless already set to something else such as an IP address of the server or a PC.
Socket write delay (milliseconds): Set to 1.
Partial returns: Set to either:-
N: None - The most common setting. Used if all employees in the PAYE reference are paid on the one ADP Dealer Services UK Ltd payroll system.
P: P14 part only - Some employees are not paid on the ADP Dealer Services UK Ltd system and the other electronic system or electronic method is being used to send the P35.
B: Both P14 and P35 parts - Some employees are not paid on the ADP Dealer Services UK Ltd system. You are sending the other P14s first and using the ADP Dealer Services UK Ltd system to send the ADP Dealer Services UK Ltd system P14s and finally the ADP Dealer Services UK Ltd system to send the P35.
Agent mode: Only accessed by ADP Dealer Services UK Ltd users, it will be set to a blank - it is only ever ticked if you are being set up as an Agent yourself in which case you should contact software support.
Check the Payroll contact details are accurate.
On the Submission details TAB:-
Check all fields are all appearing blank or with 00:00 times. If anything else is shown contact the software support department on 0845-3031300 for the parameters to be checked since they should be all blank or with 00:00 times.
Check that each and every reference you need to submit electronically is set up, use the Create option to create others. If you do not have each reference set up and cannot set them up log a priority 2 software support call on 0845-3031300.
You should ensure that in February 2008 you are running the latest payroll software for the 2007-2008 PAYE year.
Unless you are advised you have been updated to the latest 2007-2008 software you should contact ADP Dealer Services UK Ltd Software Support to arrange a software update to payroll release 8.300.64 and the latest KPay release on 0845-30-31-300 at the earliest opportunity AFTER FEBRUARY 1ST 2008 BEFORE THE 2007-2008 PAYROLL YEAR END IS RUN. The release is shown at the top of the main payroll menu.
This update requires approximately one hour of downtime from your KPay environment but for larger systems two hours should be allocated. If you have joined the KPay ring system the update is applied overnight.IF THIS UPDATE IS DELAYED YOU RUN THE RISK OF A DELAYED PAYROLL YEAR END SINCE YOU MUST AT LEAST EXTRACT THE PAYROLL DATA FOR YEAR END ELECTRONIC SUBMISSION PRIOR TO THE PAYROLL YEAR END AND THIS UPDATE MUST BE APPLIED BEFORE THE EXTRACT PROCESS.
If you submit payroll year end data to the Government Gateway or to the Agent using an incorrect software release your data will almost certainly be rejected and you risk a financial penalty from the HM Revenue & Customs (HMRC).
Software release schedule:-
March 2007 - KPay 8-35-9090-PT-04+ with 8.300.63 payroll
October 2007 - KPay 8-35-9090-PU-01+ with 8.300.64 payroll - HMRC Recognition will have been gained on this release before it is issued.
Feedback:- If you have any comments on how this check list may be improved please advise mike_d_dean@adp.com
The internet processing summary
The summary is listed here. For each step more detailed advice may be found in the help file for the menu option.
- Ensure the Internet processing check list within this help file has been followed.
Once the regular period payroll processes have been completed and after the P60s have been printed use the Year-end reports menu, Internet options menu option called Extract data to extract the data from the employee and payroll records. This results in intermediate records being created that remain on the system after the payroll year end is run. This option is ideally run by the user who has access to all or the majority of payroll types since it may be run globally. The main stages here are as follows:-
Click the Selected column of the payroll type selection grid for those payroll types to be internet filed and click OK. Note that the Selected column will default to a tick if in the final period of the payroll year and the payroll type is confirmed.
Tick the Claim column for any months that a SSP claim is to be made for and click OK.
A priority 8 payroll user should use the Year-end reports menu, Internet options menu option called Maintain P35 records to complete the P35 record for each PAYE reference that is being internet filed. This should be completed in the same way as a paper P35 would have been completed.
Choose the PAYE reference and click Amend.
Complete the details on the three TABs called Employer details, Checklist and declarations and Values. Note that the Cessation date is only completed for PAYE references that have ceased trading. The incentive payment is claimed for the previous year submission by 'small' sized employers only.
Click Save.
A priority 8 payroll user should use the Year-end reports menu, Internet options menu option called Maintain P14/P38 records to complete any corrections to the P14/P38 records for each PAYE reference that is being internet filed. This option should rarely be required, some examples of use are to record correctly a tax credit payment, a student loan collection, an address correction, a P38S completion.
Choose the employee number and click Amend.
Correct the details on the four TABs called Details, Values, National Insurance 1 and National Insurance 2.
Click Save.
Use the Year-end reports menu, Internet options menu option called Live submission request to validate the data and report any errors. If there are no errors it will then prepare the internet submission file and either advise you to contact the software support department for the software supplier to continue an agent process or for the internet submission file to be sent to the HMRC using the Government Gateway. The main stages here are as follows:-
Choose the PAYE references to be submitted by ticking the Selected column and click OK. Note that the Selected coulmn will already be ticked if all payroll types for the tax year contained within the PAYE reference are accessible by the user and have been extracted.
If the total already paid amount is zero you need to confirm you want to still submit the data by clicking the Yes option. This is unlikely for the year end stage so it is recommended you instead click the default No option.
If a message referring to Unable to generate EOY return due to business validation errors is shown at this stage you will have to review the error report as advised and correct the data using the source data followed by re-extraction if the payroll year end has not been run or use the Maintain P35 and Maintain P14/P38 options if the payroll year end has already been run.
If the Quality standard validation built into the system has been passed you should click OK to a message advising that the file has been successfully generated.
If the PAYE reference has been set up for Agent type submissions at this stage you will be asked to log an APAG type software support call and to quote the PAYE reference and APAG reference.
If you are submitting the internet file yourself and not using an Agent you will next be asked to confirm the Stunnel IP address, this should however be correctly defaulted in. Enter the Stunnel address and click OK.
If the system reports a timed out status follow the on screen advice and either run a Data request or Delete request option. If the system reports errors contact the software support department. The system otherwise will report the submission request has been successfully sent and processed.
Check the report of the submission printed to the selected printer. It will contain a communication log and depending on the PAYE set up, will record P35 details or P14 part details. Keep this report for your records as proof of submission.
If you earlier were shown a timed out message such as Submission request (type) timed out while sending a submission poll, tax reference ###/XXXXXXXXXX. Continue processing via the data request or submission poll option you should now use the Year-end reports menu, Internet options menu option called Live data request. This should be run an hour or two after the submission attempt. This option will in a similar manner to the submission option prompt you for payroll types and Stunnel address and return a submission status message that should be followed. If you do not receive a successful submission response within a day of the submission you should log a software support call. Note that the submission poll options are normally only used by software support departments and developers.
If you earlier were shown a timed out message such as Submission request (type) timed out while sending a delete request, tax reference ###/XXXXXXXXXX. Continue processing via the delete request option you should now use the Year-end reports menu, Internet options menu option called Live delete request. This should be run an hour or two after the submission attempt. This option will in a similar manner to the submission option prompt you for payroll types and Stunnel address and return a submission status message that should be followed. If you do not receive a successful submission response within a day of the submission you should log a software support call.
Use the Year-end reports menu, Internet options menu option called Log files to view on screen the communication log and P35 or P14 parts that have been transmitted and earlier printed. If you have earlier used an agent to submit your end of payroll year data your agent will contact you by Email or telephone and advise you to use this option in order for you to have proof of submission. Within this option you have to choose the tax district/employer reference, tax year, sequence (00000 is the initial send of the data, 00001 is the first amendment, 00002 is the second amendment etc) and log file origin - SR is the main submission request, LR is the List or data request used following a timed out message, SP is the submission poll and DR is a delete request. Note that the submission poll options are normally only used by software support departments and developers.
Use the Year-end reports menu, Internet options menu option called Delete end of year return data to remove old P14 and P35 records. Within this option you have to choose the tax district/employer reference and tax year. It is recommended you keep the data on your system for at least seven years after the submission.
Use the Year-end reports menu, Internet options menu option called Create amendment if you need to create an amendment to the earlier submitted data. This option may be used to amend as many P14's and the P35 as you wish. Changes to the P14 values will automatically change the P35 values.
Use the Year-end reports menu, Internet options menu option called Live amendment submission to validate the data and report any errors. If there are no errors it will then prepare the internet amendment submission file and either advise you to contact the software support department for the software supplier to continue an agent process or for the internet submission file to be sent to the HMRC using the Government Gateway. The main stages here are similar to the original live submission request listed above. The main differences are that it is only the amended amounts that are re-transmitted and the communication log will show the latest amounts and the grand total amounts.
Internet submission issues, error messages
The individual help files for the internet options will advise in detail on the general processes to be followed whilst using the internet end of year filing options. However, there are various scenarios that are best detailed outside the main help files and referred to for guidance. These are listed below.
Issue/Message User Information and Action Unable to create within the payroll system maintenance menu option called Internet EOY return parameters a record for a PAYE reference due to the message Failed - File full. Contact software support. Software support will need to extend the 00.PR.ineoy file.
You are using the Extract data option and a message WARNING: Incorrect software release. Contact software support to check your system for an upgrade. Internet extraction is not permitted for the above tax reference is shown. Contact software support. Software support will need to ensure the 8.300.62+ payroll and KPay 8-30-9090-PS-06 minimum are loaded and the payroll conversions within the Payroll Upgrade Phase 2 option have been run.
You are using the Extract data option and a message EOY return via internet flag not set for company XX is shown. Contact software support. Software support will need to tick the General 1 TAB System parameter called End of year returns via the internet to allow the payroll company to be submitted. Once done follow the internet check list to ensure the payroll is set up correctly.
You want to run the payroll year end but have not yet submitted by internet the payroll end of year data. Providing the PAYE year has had the internet Extract data option run and P60's printed it is possible to run the payroll year end. The internet data extracted must however be submitted before mid May to avoid financial penalties.
Unable to successfully generate the submission file due to a reported post code invalid message on the submission error log but the post code is a valid London postcode in the format of A#A #AA Contact software support. Software support will need to ensure the 8.300.62+ payroll and KPay 8-30-9090-PS-06 minimum are loaded to allow the source employee record data to be corrected. The user should then be able to use the Maintain P14/P38 records option to amend the intermediate extracted data.
Unable to successfully generate the submission file due to an invalid NI prefix message on the submission error log. Contact software support. Software support will need to ensure the 8.300.62+ payroll and KPay 8-30-9090-PS-06 minimum are loaded. Run the submission option again.
Unable to successfully generate an XML file due to a reported error with NI found but no NI earnings Contact software support. Software support will need to ensure the 8.300.62+ payroll and KPay 8-30-9090-PS-06 minimum are loaded. Check if this relates to a director for NI purposes who has NI history. If it is check if the p1438 record has a zero NI earnings block but NI, for example, the employee paid NI code D on earnings above UEL and then switched to NI code A without an APP. If this is the case the user should for now manually merge the 2 or more NI earning data blocks into a single block under the code used to generate NI earnings, in the above example this is NI code D. Refer to software development for further guidance.
Unable to successfully generate the submission file due to errors other than those specfically listed above. If the errors concern the employee record such as the address or postcode the employee record should be corrected. Use the Maintain P14/P38 records option to correct the data and run the submission option again. Any further errors should be referred to software support.
Running the internet option called Extract data and a message is shown Warning: todays date not within expected tax year of #### Contact software support. Software support will need to ensure the 8.300.62+ payroll is loaded. This warning is present to advise that the user is extracting data outside of the PAYE year and also beyond the end of the first expected period of the following PAYE year. Further investigation is required by the software development department.
A payroll company being used for the internet end of year returns has two or more payroll types but one or more of them has not been used for the current PAYE year. Example:- Payroll company 01 M - Monthly is in 2005-2006 and W - Weekly is in 2004-2005. Run the extract option - only the current year - M in this example is ticked on available for extraction, the other type - W in this example will be shown as 2004. Do not extract the W type in 2004.
Use the Maintain P35 records option followed by the Live submission option to send the data. A message will be shown:- Tax year difference found, processing tax year 2005, but company 01 pay type W is in 2004. Allow submission for tax ref. 999/A245 tax year 2005?. Provided you are satisfied that the W type is genuine in being in 2004 and this is no longer a live payroll you should choose the Allow option. If you believe the W type shoul d have been in the 2005 year the payroll type parameters are incorrect, a further investigation of current archive data is required and you should at this stage select the Block option and contact software support.
The user has run the submission option without first completing accurately the P35 details. APAG references ending 0 or other agent processing pre-checks detected this or the user themselves realised their error. The user needs now to complete their P35 but unable to due to the message:- Submission already sent for this tax reference. Contact software support. Software support will need to Enter the payroll module and from the main menu, Utilities menu, Data maintenance, select the p35ai file and for the PAYE reference being amended set the SUBMITTED field back to N. This now allows the p35 record to be amended and for the submission option to be run again.
The submission option is reporting an error such as invalid NI code D for a male employee. Contact the accounts software support team. They will need to re-download a 2006-2007 00.PR.nirte to the PR/00 directory. This file may be obtained from software development. Afterwards re run the submission option.
How is a P35 tax credit corrected following extraction if not selected the year end? You either correct the payroll source record and re-run the extract or use the priority 8 internet menu option called Maintain P14/P38 records to correct the P14 record and saving this record automatically updates the P35 record. What ever you do, try and check the data before and after to ensure the correction has worked.
A user wants to reset their period 1 payroll but cannot because the internet extract status is R - Return completed. Contact software support. Software support will need to ensure the 8.300.62+ payroll is loaded. Reference QA 71493.
The user has run the Extract data option and perhaps the live submission option and created their XML submission file and using a third party such as ADP Dealer Services UK Ltd as the Agent but the tax district and tax office reference fields were incorrectly completed on the employer record(s), this may result in an error code 1046. The error means an authentification failure. The supplied user credentials failed validation for the requested service. Contact software support.
Correct the employer record(s) within the employee records, Miscellaneous options, Add/modify employer details option.
Use the Set up option to correct the key field on the Internet EOY return parameters option within Payroll, System maintenance.
Use the Set up option to correct the key field on the P35 record within Payroll, Reports & enquiries, Year-end reports menu, Internet options menu, Maintain P35 records option.
If the live submission option has also been created it is recommended that the XML file within the PR/00 data directory and the log file(s) within the $LOGS directory be backed up and the live submission option re-run.
Using the Live submission request on a large data file returns an error message on the log of HTTP ERROR: Internal server error Submission request (complete) failed due to communications problem Contact software support. Software suppport will check the Stunnel operation and re-start the Stunnel daemon if necessary and re-try the submission. If this still fails try changing the Payroll, System maintenance, Internet EOY return parameters. Change the parameter called Socket write delay (milliseconds) to 0 and try the submission again.
Extracting the data for the internet submission shows a message such as Unable to read payroll type record, company CC, payroll type T Contact software support. The background to this message is the P11 history file - phist - is scanned to build up the SSP claim table. If an employee has had their payroll type moved the source payroll type is kept in the destination P11 history file to ensure record uniqueness, if the source payroll type has been deleted since there are no records left on file then this error message is shown.
One option is to just key return to this message but the message may occur many times as it will be shown every time the payroll type cannot be found. If this is the case the solution is to temporarily create the payroll type that had earlier been deleted.
The best longer term advice is to not delete a payroll type mid tax year in such circumstances when there are no records le ft but to at the first year end, run through the motions of extracting the data for the payroll type - no p1438 records will be created and this error message is avoided. Once a year end is then performed arrange for the payroll type to be deleted by deletion of the data files, delete the payroll type and tidy up the password records.
The internet options menu
The PR INTERNET EOY RETURNS menu is displayed when you select the Internet options option in the PR YEAR END REPORTS MENU.
Employee P60 forms: This allows for those employed at the payroll year end to have their P60 printed on Landscape dot matrix or laser formatted stationery.
Extract data: Extracts data from the employee and payroll records to create intermediate P14 and P35 records.
Maintain P35 records: Allows for the intermediate P35 records created following the extract phase to be maintained. This option should be used to update the declarations and values prior to submitting the P14 and P35 data.
Maintain P14/P38 records: Allows for the intermediate P14 records created following the extract phase to be maintained.
Live submission request: Submit live data for the first time for a PAYE reference and PAYE year.
Test submission request: Submit test data for the first time for a PAYE reference and PAYE year.
Live delete request: Submit a live delete request following a time out during the delete request process on a live submission request or live amendment submission.
Test delete request: Submit a test delete request following a time out during the delete request process on a test submission request or test amendment submission.
Live submission poll: Submit a live submission request following a time out during polling on a live submission request or live amendment submission. This is the preferred option to a live data request.
Test submission poll: Submit a test submission request following a time out during polling on a test submission request or test amendment submission. This is the preferred option to a test data request.
Live data request: Submit a live data request following a time out during polling on a live submission request or live amendment submission.
Test data request: Submit a test data request following a time out during polling on a test submission request or test amendment submission.
Log files: View or print log files generated during the submissions.
Delete end of year return data: Deletion of intermediate P14, P35, XML and log files.
Create amendment: Create amendments to P14 and P35 intermediate files for further submission.
Live amendment submission: Submit live data file changes.
Test amendment submission: Submit test data file changes.
