Claiming Employment Allowance mid financial year

Hi there, @JBR80.

Let me provide some insights about claiming the Employment Allowance and help you from there.

The Employment Allowance won't apply to the previously paid Employer liabilities. This will only adjust your recent National Insurance Contributions (NIC) Employer liabilities accordingly. Please know that the liability adjustments start from the point of turning on the Employment Allowance setting.

You can view these adjustments on the P32 report. Here's how:

1. In your QuickBooks Online, click Reports from the left menu.
2. Search for P32 from the search field.
3. Select the appropriate year you want to review. 

It will download a PDF file where you can see the Employment Allowance claim.

Just in case you want to make changes to Employment Allowance in 2020/21, feel free to read this article for more guidance: Changes to Employment Allowance in 2020/21.

Please let me know if you need clarification about this, or there's anything else I can do for you. I'll be standing by for your response. Have a great day.

Thanks for the details. So, at the end of year if I have paid Employers NI that could have been covered by Employment Allowance, how do I account for that in QB?

Good morning

I didn't realise until month 2 of the year that I needed to switch the Employer Allowance on (I assumed it carried on from previous year!) so does that mean that I will not be able to go back to use up the allowance for month 1? (I have not yet paid it !!)

thank you

Megan

Hi Megan What payroll system are you using, standard or advanced?

 how do i switch this on - o don't think we have claimed this for the last 3 years! Can this be backdated as I am on a payment plan too

Thanks for joining the thread, KC1978. 

I'm here to help you claim your Employment Allowance.

To reclaim your previous Employment Allowance tax for the past years, I'd suggest contacting HMRC to further assist you.

You can also see our guide here for claiming this for the 20/21 tax year in the standard payroll.

Lastly, I'd recommend consulting with an accountant or a Tax-Professional so you'd be guided in managing your payroll.

Please let me know if you need clarification about this, or there's anything else I can do for you. I'll be standing by for your response. Have a great day.