Can I re-do FPS from two months ago? Er NI was deducted in error, we refunded to employee and was deducted off next PAYE payment as told by HMRC, but shows o/s on HMRC?

Hello Kendal-sharp, 

Welcome to the Community page, 

In order for us to help you more with your Question, can we ask which payroll it is you are using in your QuickBooks account, is it our standard payroll or is it our Advanced payroll? 

Hi,

It's the standard payroll I'm using!

Hello Kendal,  Yes you can redo the FPS if you have made a change, you can send the resend the FPS as a correction to the previous submission. To do this in standard payroll when you go to submit>you will see a reason for filing late drop-down box and in that box if you select correction to the previous submission. We have included a link here. As long as you send the FPS for the pay period you made the change on then it will then update with HMRC.

Hi Emma,

Suppose the issue I still see is that the last payroll figures were technically correct.

The full story is in August we had a new employee and I gave him the NI Letter A when it should have be C so in August it deducted the NI contribution and I paid this to HMRC. He told me at a later date he wasn't supposed to pay this. So, after speaking to HMRC they told me to refund him and deduct off our next payment. Which I did, but this didn't adjust any previous NI figures.

I suppose the issue is from September his NI figure was correct at zero but I don't know how to show the refund we gave him was for the NI taken the month before? And how that is then submitted to HMRC. As at the time QuickBooks told me to set up a non taxable pay to give this refund?

Hello, kendal-sharp. 

Thanks for coming back to us. I've got some details about NI letter on both Standard and Advanced Payroll subscriptions. 

If you have the Standard Payroll subscription, delete and re-run the payroll for the current tax year. This will lead in adjustments to the employee's tax amounts.

I would recommend reading this article for more information before deleting the current year's pay runs: Delete a pay run in QuickBooks Online Standard Payroll. 

You can also wait until the end of the fiscal year to make the necessary changes for the correct NI letter. Then, notify HRMC of the changes and request that they calculate the tax adjustments.

To change the NI letter: 

1. Go to the Payroll menu, then select Employees. 
2. Select the employee's name, then click Tax information. 
3. Choose the correct NI letter under the NI letter drop-down list, then Save. 

If you're using the Advanced Payroll version, you can change the NI letter and have the system recalculate the tax amounts for you. However, I would still advise informing the HMRC of the changes.

To change the letter: 

1. Go to Payroll.
2. In the Employees tab, find and select the employee's name. 
3. Select Tax and NI Details from the left panel. 
4. In the National insurance category drop-down list, choose the appropriate rate per the HMRC. 
5. Click Save. 

If you want to check your payroll liabilities and other taxes, you can use QuickBooks' reports. One of these articles can help you become acquainted with them:

• View reports in QuickBooks Online Standard Payroll
• View reports in QuickBooks Online Advanced Payroll

Should you have more questions while managing your employees in QuickBooks, don't hesitate to let me know so I can help you out.