Employers will have up to a fortnight to report payments of certain benefits and expenses under revised real time information proposals, according to HM Revenue and Customs proposals.
The extra time would apply to benefits and expenses subject to Class 1 National Insurance contributions but not taxed under Pay as You Earn, such as an employer paying an employee's home utility bill or an employee purchasing goods on a company credit card that would not need to be reimbursed.
HMRC acknowledged that in a small number of cases the requirement from April 2013 for employers to report information in real time would be difficult or impossible.
"To make reporting easier for employers in these situations HMRC is proposing to allow extra time in some cases."
The rule change would apply to basic pay situations as well. In cases where payment depends on the work done, such as a crop picker paid for the amount he or she has picked, employers could be allowed up to seven days to report PAYE information.
Draft regulations based on these proposals will be published for comment in mid-November.
HMRC will also be issuing further guidance on the reporting of ad hoc advances of pay, and also information on the reporting of payments made by expat employers and those operating share schemes.
It comes a month after the customs and tax department announced it would be looking at paper-based solutions to RTI in order to meet the needs of those unable to use an electronic system.
