SAGE Payroll
Correcting errors in a previous tax year
If you notice an error in the previous tax year, you will need to fix it.
Backup your data
Before you start to do anything, it is important to back up your data.
Print historical payslips
Print historical payslips (unless you have already got copies) to ensure you have details of the original payment for all the periods you need to reprocess. This will help you later in the Enter the correct pay section.
Rollback
If you process any payments in the new tax, use the rollback on these payments first. Once you remove these payments with rollback, you can continue to rollback payments in the previous tax year.
Set the process date to the prior tax year and follow the rollback process until you are back to the period you need to amend.
Note: During the rollbacks, a message sometimes asks if you want to clear year to date values. Select No on this message if it appears.
Reprocess the prior tax year
Process the correct pay for the employee(s) as normal, starting from the earliest period you need to reprocess. The reprocess each period back to the date for the prior tax year.
You can use the historical payslips that you printed earlier. Make sure that you print your normal reports, including the payslips and then update records for each period.
If you normally post the nominal link to Sage 50 Accounts, correct salary journals to Sage Accounts after you update the records.
Notify HMRC of the changes
To let HMRC know of the changes, submit an adjustment to HMRC for a previous Tax year.
Note: Submit the amendment to HMRC before you start reprocessing in the next tax year.
Updating tax codes
Before you start reprocessing in the next tax year, check your employee’s tax codes are correct. If required, update your employees’ tax codes.
Submit an EPS for a previous tax year
To inform HMRC of values that are not in the full payment submission (FPS), submit an employer payment summary (EPS) for a previous tax year.
If you would like help correcting a problem in a prior tax year or need any other help or advice with your payroll, please contact us
We can also provide a remote access service where we can link into your computer to help you resolve your Sage Accounts or Payroll problems.
