Payroll Test Data - Data for 2008/09 calculations published

View the next news item for Payroll Standard and Accreditation
View the previous news item for Payroll Standard and Accreditation

27 March 2008

HMRC provides packs of test data to enable payroll system developers to check that their software works accurately. Developers whose systems are accredited under either the Payroll Standard or the Pensioner Payroll Standard also use the tests to ensure that they continue to comply with the relevant Standard.

However, as employers - not developers - are responsible in law for the accuracy of their tax, NICs and statutory payment calculations, HMRC's test data is also a useful tool for employers to use to check, especially at the start of each new tax year, that their payroll system update for the new tax year continues to give accurate results across a range of different payment situations.

The first set of HMRC's test data for the 2008/09 has been published. It gives expected results for payments made using all of the different tax codes. The tests are simple to perform if your payroll system has a "calculator" facility. For example, try the following test using your payroll system:

• calculate the tax due at month 1 of 2008/09 for a payment of £3,100 using tax code 45L - the result should be £647.73
  
  
• carry forward those results to month 2, change the same employee's tax code to 100L and pay £623.23 - the tax for month 2 should be £63.27.

...UK Payroll News - Latest

Sources:
08/09 Tax calculation and Week 53, 54, 56 tests version 1

The UK Payroll News is sponsored by HRD & Payroll Solutions

Discuss this news item in the PayPerShop Forum