Delay announced for implementation of new HMRC data collection requirements for employers

From April 2025, businesses and employers were due to start providing more detailed employees’ hours data through PAYE Real Time Information submissions as proposed in the draft legislation: improving the data HMRC collects from customers. HMRC has announced that this specific aspect will not now commence from April 2025 due to concerns about their being insufficient lead in time to upgrade software and the delay caused by the general election. Although a revised timeline has not yet been announced, HMRC has said that this requirement will now not apply until April 2026 at the earliest. The announcement came in the most recent HMRC News and Information Bulletin. 

In response to the initial consultation examining these proposals, Chartered Accountants Ireland expressed its concern that the additional data to be collected was not warranted. 

However, the April 2025 expected implementation date for the other new data to be collected is still expected to proceed as this is still viewed as being “achievable”. At present, the data in-scope are as follows: 

• Directors in owner-managed businesses will be required to provide the amount of dividend income received from their own companies separately to other dividend income, and the percentage share they hold in their own companies via their Self-Assessment return, 

• The self-employed will be required to provide information on start and end dates of self-employment via their Self-Assessment return. 

HMRC did say however that “whether and when to proceed with implementing the regulations remains subject to decisions by the new government.”  

A further update on these proposals and the timeline for implementing these changes will be provided in due course.